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xxTIMURxx [149]
3 years ago
12

Eight years ago you purchased an asset for $100,000 that has yielded a nominal capital gain of $30,000. If you sold the asset to

day, your inflation-adjusted capital gains would be zero due to inflation over the last eight years. The capital gains tax is 28 percent. If you sold the asset today your tax liability would be
Business
1 answer:
xz_007 [3.2K]3 years ago
5 0

Answer: $8,400

Explanation:

Tax liability for a year is computed on the nominal capital gain as of that year not the inflation-adjusted gain. As such, should the asset be sold today, the capital gains tax of 28% will be computed on the capital gain of $30,000 in the following manner;

= 28% * 30,000

= $8,400

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Which of the following items is included in the financing activities section of the statement of cash flows?
Lyrx [107]

Option B, Cash effects of transactions obtaining resources from owners and providing them with a return on their investment.

Explanation:

Option "A" is incorrect because loans are transacted and collected depending on the nature of the activity.

Option "C" is wrong because investment activity covers procurement and disposal of investment and property and equipment.

Option "D" is wrong since transfers of cash to net income would be subject to operations

The financial transactions in the cash flow statement depends on how a company receives money and returns the capital market back to creditors. These activities include the payment of cash dividends, the addition or change of loans, or the issuance and sale of more stocks.

3 0
3 years ago
________ is the shift from people making their own fun to people purchasing it as goods and services.
Greeley [361]

The commodification of recreational activities is the shift from people making their own fun to people purchasing it as goods and services.

<h3>What is commodification?</h3>

This is when values are assigned to objects or things which are previously meant for fun. Commodification occurs when something that used to have intrinsic value gradually develops a monetary value like water, or sunshine, or knowledge as an example.

Here, human and socio cultural value are converted into market value which also applies to goods, services, ideas, and other forms and products.

Commodification provides benefit to a business environment which includes opportunities for developing new products and services inorder to meet ever changing customer needs and demand.

Learn more about commodification here: brainly.com/question/13235742

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6 0
2 years ago
Ricwy corporation uses the cost formula y = $4,800 + $0.40x for the maintenance cost, where x is machine-hours. the august budge
julia-pushkina [17]
Given the Ricwy corporation maintenance cost is modeled by the  formula y=4800+0.4x, the maintenance cost when x=9000 hours will be:

y=4800+0.4(9000)
y=4800+3600
y=$8400

The total maintenance cost for the month of August will be $8400
7 0
3 years ago
Read 2 more answers
Last month some of your friends were riding in a car together and were injured in an accident. Their total injuries were as foll
Klio2033 [76]

If they  were injured in an accident. The total medical coverage in this accident is: $225,000.

<h3>Total medical coverage</h3>

$100,000 is for bodily injury liability insurance per person.

Hence:

Using this formula

Total medical coverage=Total injuries + Coverage

Let plug in the formula

Total medical coverage=$125,000+$100,000

Total medical coverage=$225,000

Therefore the total medical coverage in this accident is: $225,000.

Learn  more about Total medical coverage here: brainly.com/question/16760144

brainly.com/question/13851009

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4 0
2 years ago
Baldwin has negotiated a new labor contract for the next round that will affect the cost for their product Buzz. Labor costs wil
harina [27]

Answer:

433 units

Explanation:

Information related to production costs are missing, so I looked for it. I found the following:

current sales price = $17

current fixed costs = $7,242

new labor costs per unit = $2.60, which results in a $0.50 increase

new direct materials cost per unit = $5.82, which results in a $1 decrease

total variable costs per unit = $8.42

Baldwin plans to pass 50% of the changes in costs to its customers:

  • Increase $0.25 due to higher labor costs
  • decrease $0.50 due to lower materials costs
  • net change = -$0.25

new sales price = $17 - $0.25 = $16.75

contribution margin per unit = $16.75 - $8.42 = $8.33

break even point in units = total fixed costs / contribution margin per unit = $7,242 / $16.75 = 432.36 = 433 units

3 0
4 years ago
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