Answer:
The day the property was contributed.
Explanation:
A holding period refers to the time period an asset or investment is held by a business or an investor, or the period between when the asset is bought and when it is sold.
The character or type of an asset contributed to a partnership in exchange for a capital and profits interest determines the beginning of the partner’s holding period as follows:
1. If the capital asset or property contributed by the partner has been used in a trade or business just before it is contributed to the partnership, the holding period of the partner for the partnership interest will include the holding period of the capital asset or property contributed.
2. If the capital asset or property contributed by the partner is exchanged for money, capital or other property, the beginning of the holding period of the partner in the day of acquisition of the interest, i.e., the day the property was contributed.
Since the question states that the property is contributed to a partnership in exchange for a capital and profits interest, rule number 2 above therefore applies. That is, the partner’s holding period begin for the partnership interest the day the property was contributed.
Answer:
<u>Yes. </u>
Explanation:
How else are they going to make their money?
Answer:
If the manufacturer does not want to be involved in any sales or marketing activities, he will probably have to employ a sales agent to handle those activities.
Explanation:
A sales agent is an individual or a firm that is employed by a manufacturer to handle the sales and/or distribution of goods within an assigned territory.
Answer: False
Explanation:
The statement that "Paul Krugman argues that although strategic trade policy looks unappealing in theory, in practice it is most likely to be workable" is false.
According to Paul Krugman, a strategic trade policy will be captured by the special-interest groups that are within the economy and this will bring about it's distortion and therefore it's unlikely to be workable.
Answer:
Decreases by $2 million; Money supply decreases by $12.5 million
Explanation:
Given that,
Required reserve ratio = 16 percent
Government bonds sold by Fed = $2 million
Therefore, the economy's reserve decreases by:
= Change in money supply × Required reserve ratio
= $12.5 million × 0.16
= $2 million.
Money multiplier = 1 ÷ Required reserve ratio
= 1 ÷ 0.16
= 6.25
Money supply decreases by:
= Money multiplier × Decline in reserves
= 6.25 × $2 million
= $12.5 million
