Answer:
a) The marginal benefit is greater than the marginal cost of additional units.
Explanation:
Cost-benefit analysis is the systematic process of wieghing various transactions based on comparism between their benefit and cost.
The rational storage business owner should compare the cost of building another section of storage units to the benefit from 100 renters.
If the additional cost is justified by the benefit then he can go ahead with the construction.
It’s: c) heading! hope this helps
Answer: It will increase the company's annual operating income by 18%.
Explanation: Operating income is an accounting and finance term which is known as the total amount generated by a business Organisation after the total costs that are associated with the operations and the tax have been deducted from the total revenue generated during the period under review.
AN OPERATING INCOME CAN BE CALCULATED YEARLY OR ANNUALLY (ANNUAL OPERATING INCOME).
The higher the operating income the higher the profit margin earned by the business Organisation.
Answer:
A 1031 Exchange allows a taxpayer like Rodriguez to temporarily differ any capital gains when they sell a property and immediately purchase another property using the proceeds from the sale. In the first part of the question, Rodriguez sold a property that had a basis of $57,000 for $65,000, and immediately but another property worth $65,000. That means that he doesn't need to immediately pay any taxes for the $8,000 gain.
But if the situation is the opposite. Instead of making a gain, Rodriguez lost money, then he should immediately record the $8,000 loss in order to lower his taxes. The less taxes you pay, the better. The whole idea of the 1031 Exchange is to defer taxes that you owe, not to defer losses that will lower your taxes.
Answer:
b) Debit Sales Returns and Allowances $2,300 and credit Accounts Receivable $2,300 in the general journal.
Explanation:
When goods were sold on account, Accounts receivables is debited, and Sales is credited. When goods are returned, Sales Return & Allowances is debited, and Accounts receivables is credited.
Thus, the entry will include Debit in Sales Returns and Allowances $2,300 and Credit in Accounts Receivable $2,300
