Answer:
a. Recognized gain = $ 0
b. Taxes basis = 14.000
Explanation:
a) Solution :- If the exchange is non-taxable :-
Realized gain = 35.000 - 14.600 = $ 20.400.
Recognized gain = $ 0. (The exchange situation falls / comes in the ambit of Section 1031 of IRS Code.)
Tax basis in the new asset = 14600 + 9500 = $ 24100.
Question b). Solution :-
Realized gain = 14000 + 21000 - 14600 = $ 20400.
Recognized gain = $ 20400 (Lesser of realized gain or boot received i.e., lesser of $ 20400 or $ 21000)
Tax basis in the new asset = 14600 + 20400 - 21000 = $ 14000.
Answer: c. The subscription began about 10 days before the 15th of the month.
Explanation:
With the first month's payments being pro-rated for the amount due up until the 15th of the month plus the next month's bill amount payments, the likely possibility is that the customer started their first subscription 10 days before the 15th of the first month.
This would then mean that they were charged the daily rate for each of those 10 days which amounted to $15. The daily rate can be calculated by dividing $45 by 30 days because $45 is the rate for the month according to the question.
= 45/30
= $1.5 a day.
People use banks to keep their money<span> safe, but they also use banks to earn even </span>more money. They usesavings accounts<span>, which banks set up for </span>you<span> so </span>you can<span> save your </span>money<span>. So how do </span>you make money<span>through a bank? The good ... in your account. </span>Money<span> moving to a bank as a deposit and coming out as</span>interest<span>.</span>
Answer:
Based on the information supply of cards is more elastic (price sensitive) than that of roses
Explanation:
Price elasticity of supply is defined as the sensitivity of quantity supplied to changes in price.
The formula is given below
Price elasticity of supply= Change in quantity supplied ÷ Change in price
In this scenario the demand for both roses and cards increases, however the price of roses increases more.
This implies that the denominator in the formula is higher in roses resulting in smaller price elasticity of supply.
The elasticity of supply for cards is higher than that of roses, so it is more sensitive to changes in price.
Cards can be stored from year to year so the labour for maintaining a stock of cards is low with resultant low price.
On the other hand roses require care to grow. It requires watering, application of chemicals to treat infestation and so on. So suppliers tend to push the extra cost of growing roses to the buyers
