Answer: Political contributions
Explanation:
The expenses which are vital in running a business are deductible and examples of these are utility costs, legal services, salaries, office rent, equipment and supplies, utility costs, professional dues, etc.
Of the options given in the question, political contribution are not paid or incurred while running a business. Under Section 162(e), the political contributions are not deductible.
Answer:
0.5
Explanation:
A screenshot is attached to get the full solution
Since the coefficient is < 1, it is inelastic
Answer:
If alpha is 0.2 then 92.6units
If alpha is 0.3 then 91.4units
Explanation:
The calculation can be done by the following formula
F = F + alpha (A-F)
Where
F = Forecast value
A= Actual value
Alpha = exponential smoothing constant
If alpha is taken 0.2
F = 95 + 0.2 ( 83-95)
F = 92.6
If alpha is taken 0.3
F = 95 + 0.3( 83-95)
F= 91.4
Answer:
B) (I) is false, (II) true.
Explanation:
The interest rate of longer-term securities is usually higher than the interest rate of short-term securities because more risk is associated with the longer-term securities. An example of the risks associated with long-term securities is that it possible for inflation to make value of the payment to fall. Another risk is when there is a rise in the interest rate which usually lead to a fall in the bond prices.
Treasury STRIPS refers to bonds that are offered for sale at a discount to their face value. Their major attribute is that they do not pay interest to investors but the full face value of the bonds is paid to the investor when the bonds mature. This means the bonds mature at par.
The full meaning of STRIPS is Separate Trading of Registered Interest and Principal of Securities, and they are types of bonds that are commonly referred to as zero-coupon bonds because no interest or coupon is paid by them.
From the above, we can see that (B) is the correct option in the question. That is, (I) is false, (II) true.
