Answer:
The answer is: Ms. Crocker LTCL is $0 and her basis for her 1,000 shares purchased in 2020 is $8,000
Explanation:
Ms. Crocker initially bought 1,000 stocks at $10,000, then she sold her stock at $9,000 losing $1,000. Then she again bought the same stock for $7,000. She can offset her initial loss ($1,000) and instead add it to the value of the stock purchased later. So instead of having 1,000 shares with a $7,000 value, she can value her stock at $8,000.
Answer:
The correct answer is letter "C": Simple interest is calculated on principal alone; compound interest is calculated on the principal as well as the interest you’ve already earned.
Explanation:
Interest may be <em>simple </em>or <em>compounded</em>. In general, simple interest is expressed as a percentage of the principal amount of a loan. It is calculated by <em>multiplying a loan's principal amount by the interest rate and the number of payment periods</em>. Compounded interest accrues on the principal amount of a loan and the interest accrued from previous periods. To calculate it <em>multiply the principal by the interest rate plus one (1), raised to the number of compound periods minus one (1).</em>
Answer: The higher the risk, the higher the return.
Returns from an investment refers to the gains or losses over a specified period, and is quoted as percentage.
Risk refers to the possibility or the chance that the actual return that is earned is greater than or less than the return expected by the investor. Thus, uncertainty is another name for risk.
If the returns from an investment are certain, the risk involved is low. When risk is low, the returns are also low. For e.g. the return from a T-bill is low because the risk of default is zero, since the government can print money to fund its debt.
The higher the level of risk involved, the greater the potential for a higher return.
Answer: D. contribution amounts remain fixed based regardless of age
Explanation:
The statements that are true about non-contributory defined benefit retirement plans include:
• contribution amounts vary based upon the age of the person covered under the plan.
• larger contributions are made for older plan participants nearing retirement than for younger ones.
• once benefit payments start, the amount of the benefit is fixed.
It should be noted that in a defined benefit retirement plan, there is variation in the contribution amounts which depends on the individual's age that's covered under the plan. Therefore, the statement that "contribution amounts remain fixed based regardless of age" is incorrect.
Hahahaha basic its only letter a
