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sasho [114]
3 years ago
6

Oleander Corporation, a calendar year entity, begins business on March 1, 2019. The corporation incurs startup expenditures of $

64,000. In your calculations, round any division to 2 decimal places. Round your final answer to the nearest dollar. If Oleander elects § 195 treatment, determine the total amount of startup expenditures that it may deduct in 2019. $
Business
2 answers:
jek_recluse [69]3 years ago
8 0

Answer:

$3,556

Explanation:

Because the startup expenditure is above $50,000, the startup expenditures which are not deducted may be amortized over a period of 180 months starting from the beginning of trade.

This is calculated as the startup cost is divided by the total number of months allowed to be amortized and the answer is then multiplied by the months traded during the year. In the case provided the months in which the Oleander Corporation has been trading are 10 months starting from March-December 2019.

Amortizable amount {($64,000 / 180 months) * 10 months}

= $3,556 this is total deduction allowed as startup expenditure.

LekaFEV [45]3 years ago
4 0

Answer:

$3,556

Explanation:

Since the startup expenditures of $64,000 incurred by Oleander Corporation is above $50,000, and we have 10 months in 2019 from March 1 since the business started operation, we can prorate over 18 months as required by law and determine the amount deductible for 2019 as follows:

Deductible startup expenditure = (64,000 ÷ 180) × 10 months = 355.56 × 10 = $3,556 to the nearest dollar

Therefore, the amount deductible for 2019 as startup expenditures by Oleander Corporation is $3,556.

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xenn [34]

Answer:

The correct answer is letter "D": short-term financing.

Explanation:

Short-term financing allows companies to obtain capital for their <em>day-to-day operations</em>. The funds obtained are typically used for the transactions companies require during one period -one year, but the term for payment tends to be within six (6) to twenty-four (24) months. Under this scenario, the main purpose of firms is to keep their businesses up and running and obtain profits enough for the payment of the loan and reinvestment in the company.

7 0
3 years ago
assuming you have a tcf free student checking account, which fee would end up costing you extra money?
asambeis [7]

Out-of-network ATM fee would end up costing you extra money assuming you have a TCF free student checking account.

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5 0
1 year ago
A property owner had a stroke and is unable to take care of himself. He has no heirs so a court placed him in a nursing home and
julia-pushkina [17]

Answer: Tax lien

Explanation:

Tax lien could be defined as a federal obligation which the government carries out when you fail to pay tax debt. The government accumulates the total tax.

The property owner got exposed as regards tax payment plan which was not paid.

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3 0
3 years ago
Consider the monopolistically competitive market structure, which has some features of a competitive market and some features of
Vera_Pavlovna [14]

Answer:

The answer is below

Explanation:

Considering the available options, here are the attributes that characterize a competitive market, and a monopolistically competitive market.

A competitive market is characterized by Identical products and Price = MR, while Monopolistic competition is characterized by product differentiation and few sellers.

Hence, it can be written as:

Competitive markets

Product differentiation. No

Identical products Yes

Price=MR Yes

Few sellers No

Monopolistic competition

Product differentiation. Yes

Identical products No

Price=MR No

Few sellers Yes

8 0
3 years ago
Berta Company recently lost its entire inventory in a fire. The following information is available from its accounting records:
Simora [160]

Answer:

Lost Inventory would be $2.000

Explanation:

Consider the following calculations and variables

  • Inventory cost at beginning : $1000
  • Purchase : $13,000
  • Sales : $20000
  • cost of Goods Available = $1000 + $13,000 = $14,000
  • Gross Profit percentage is 40%. So Cost of Goods Sold = 100-40 = 60%
  • Cost of Goods Sold = $20000 * 60% = $12000
  • Ending Inventory = Cost of Goods Available - Cost of Goods Sold = $14000 - $12000 = $2000

Lost Inventory would be $2000

8 0
3 years ago
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