Answer:
Advantages of buying business premises
There are considerable advantages to securing a mortgage to buy business premises, including:
- your mortgage repayment is likely to be similar to or less than a rental payment on the same property
- with a fixed rate mortgage, your monthly repayments will be predictable
- you aren't exposed to any sudden, large rent increases
- you may be able to sublet any free space, reducing your monthly repayments (you may require permission from your lender to do so) and allowing you to generate extra income
- interest payments on a commercial mortgage are tax-deductible
- any gain in value of the property will increase your capital
- as your business grows, you may be able to extend your existing premises, avoiding relocation costs
- you have control over what alterations you want to make to your office space
Disadvantages of buying business premises
The disadvantages of buying business premises include the following:
- Unlike renting, you'll need to come up with a substantial mortgage deposit - this is money that might be used for more important business purposes.
- If you own premises, you may find it harder to relocate your business, because selling business premises is a complex and sometimes lengthy process. If you rent, you may be able to negotiate to end your rental agreement, or to find another organisation to take over your tenancy at short-notice.
- If you have a variable rate mortgage, you are exposed to increases in interest rates.
- Owning a property means you'll be responsible for factors such as maintenance, fixtures and fittings, insurance, decoration and security, which can prove expensive.
- Repaying a commercial mortgage
- Commercial mortgage fees and costs
- Book traversal links for Advantages and disadvantages of buying business premises
Explanation:
Answer:
decrease the stockholder equity and decrease in assets
Explanation:
As we know, the accounting equation is
Total assets = Total liabilities + stockholder equity
In the given case,
The rent is paid for the current month, so the journal entry would be
Rent expense A/c Dr XXXXX
To Cash A/c XXXXX
(Being rent is paid)
So it decreases the stockholder equity as it includes the income and expenses part and it decreases in assets as it reduces the cash balance
People should volunteer to help out the community and overall make you a better person. Helping out can drastically change someones overall appearance making them seem like a nicer and more chill human being to be around. Volunteering also works on Social Skills that many people lack every human should work on there social skills and interacting with people by volunteering.
Answer:
The answer is option (b)$4,000
Explanation:
Solution
Given that:
Now
The income of George and Martha is =$119.650
For year 2019 child tax credit is $2,000 per dependent child subject to a minimum income of $2,500.
The Income limit for Married Jointly Filed is= $400,000.
Thus
They are eligible for $2,000 tax credit per child.
So,
Tax Credit = $2,000 * 2
= $4,000
Note: The AGI limit phaseout begins at $400000 for joint tax filers
Answer:
The M2 for October 2010 is $4.4145 trillion
Explanation:
In this question, we are asked to calculate the value of M2 for the month of October 2010. We use a mathematical approach for this;
Mathematically:
M2 = M1 + Savings deposits + Money market funds + Certificates of deposit + other time deposit
We identify the parameters in the question as follows:
Savings deposit = $989.4 billion
Money Market funds = $1.9423 trillion
Certificates of deposit = $345.6 billion
Other time deposit = $243.8 billion
M1 = $893.4 billion
We thus calculate M2 as = $989.4 billion + $1.9423 trillion + $345.6 billion + $243.8 billion + $893.4 billion = $4.4145 trillion
