Answer:
According to this situation, we assume that firm F is the only producer of product X.
Explanation:
A perfect replacement is a condition in which two items are considered equal. Great replacements are goods and you can't build a brand whereby consumers like the commodity.
Except for a market price, optimal substitution suppliers must have no impact on the quality.
- Therefore, in this situation product Y's price rises, so people shift for product X.
- In results, firm F had to increase his supply which shows that firm F is the only producer of product X in the industry.
A customer who sold a bond at a loss must wait how long before he can buy back a substantially identical bond and not have the sale classified as a wash sale?
30 days.
Answer:
Vanessa's tax basis in cook inc. $50,000
Explanation:
Given:
Cash = $20,000
Fair market value = $100,000
Adjusted basis = $40,000
Mortgage executed = $30,000
Now,
For the tax basis
cash $30,000
add; Land ( adjusted basis ) $40,000
less ; Mortgage $20,000
============================================
Vanessa's tax basis in cook inc. $50,000
============================================
Explanation:
The computation is shown below:
1. For Predetermined overhead rate
Predetermined overhead rate = (Total estimated manufacturing overhead for 4 months) ÷ (Total number of units)
where,
Total estimated direct manufacturing cost is
= $166,400 × 4 months
= $665,600
And, the total number of units is
= 4,700 units + 8,700 units + 4,300 units + 7,900 units
= 25,600 units
So, the predetermined overhead rate is
= $665,600 ÷ 25,600 units
= $26 per unit
2. Now the allocated cost for each month is shown below:
For January
= 4,700 units × $26
= $122,200
For February
= 8,700 units × $26
= $226,200
For March
= 4,300 units × $26
= $111,800
For April
= 7,900 units × $26
= $205,400
c. Now the total cost per unit is
= $22 + $26
= $48 per unit
Given that <span>Al
contracted to sell his house to bev. subsequently, they both changed
their minds and agreed to cancel the contract.
The contract between al
and bev is discharged by rescission.</span>