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3 years ago

The inflation tax refers to

Business

2 answers:

Mandarinka [93]3 years ago

4 0

Answer:

The correct answer is letter "D": the revenue a government created by printing money.

Explanation:

When the government prints more money, there will be more supply of it. A higher supply of money tends to increase general prices causing inflation. Therefore, households will have to pay more money for goods and services which implies they will be paying more taxes, benefiting the government since it will have more money to finance its projects.

The previous practice mentioned is implemented by governments that are not willing to increase the interest rate directly.

Daniel [21]3 years ago

4 0

Answer:

The correct answer is option D) the revenue a government created by printing money

Explanation:

Inflation tax is not actully a tax. It is the price, extra cost that people have to bear as the inflation keeps increasing.

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From what part of income should someone take savings?

vovikov84 [41]

Answer:

nowhere

it wouldnt help anyway

5 0

3 years ago

Read 2 more answers

(Lessee-Lessor Entries, Sales-Type Lease; Guaranteed Residual Value) Phelps Company leases a building to Walsh, Inc. on January

Artist 52 [7]

Solution and Explanation:

Calculation of Minimum lease annual payments from (MLP)

Year MLP from lessor Present value Present valur of

point of view factor 8% cash flows

1 $4,703 $1 /(1.08)=0925$ $4,350.28

2 $4,703 $1 /(1.08)^{\wedge} 2=0.857$ $4,030.47

3 $4,703 $1 /(1.08)^{\wedge} 3=0.793$ $3,729.48

4 $4,703 $1 /(1.08)^{\wedge} 4=0.735$ $3,456.71

5 $4,703 $1 /(1.08)^{\wedge} 5=0.680$ $3,198.04

Total of Minimum

lease Payments $23,515 $ 18,764.97

Add

Unguaranteed

residual value(ugrv) 4000 $1 /(1.08)^{\wedge 5}=0.680$ $2,720.00

Asset to be recorded

in the books of lessor

(sum of mlp +ugrv) $27,515 $ 21,484.97

Here

Gross Investment=$27515

Lease receivable recorded in in the books of lessor(Phelps)(Mimum lease payments + Unguaranteed residual )value = $21484 $21,484

Walsh (lessee) shoiuld be recorded the amount of present value of minimum lease payments + Guaranteed Residual value=$18764.97 as asset and liabilty

b) In the books of phelps (lessor)

2017.01.01 Lease Recievble from walsh ….Dr $21,484

to Asset $21,484

(Being Lease receivable recorded )

In the books of Walsh (lessee)

2017.01.01 Asset ac ……………Dr $18,764

to Lease Liabilty(Lessor) $18,764

(Being the asset and liabilty recorded )

2017.12.31 Depreciation ……Dr 3752

to Asset 3752

(Beint Depreciation recorded charged during the year recorded 18764/5 provided for 5 years)

Here annual payment started from the at the beginning of year i.e annual lease payments start from 01.01.2018.

c) If expected residual value of $4000 is guaranteed by walsh no changes will be made in classification of lease and there is no chages in asset recorded in Lessor books. But changes will be made in the books of lessee as present value of guaranteed residual value should be added to asset I.e $18764+Present vlue of $4000 $18764+2720=21484

d) If expected residual value of $3000 is guaranteed by walsh no changes will be made in classification of lease and there is no chages in asset recorded in Lessor books But changes will be made in the books of lessee as present value of guaranteed residual value should be added to asset I.e $18764+Present vlue of $3000 $18764+$2040=$20804

5 0

3 years ago

This activity is important because any business that offers multiple product lines to multiple market segments is faced with the

Serggg [28]

Marisbsudbdudhh eidbushdus isushsgsh

7 0

3 years ago

Your firm needs a computerized line-boring machine that costs $90,000 and requires $16,000 in maintenance costs for each year of

sladkih [1.3K]

Answer:

The aftertax salvage value of the machine is D) $10,134

Explanation:

Hi. first, we need to find out the book value of the machine at the selling date, that is 3 years from now, and the book value is as follows.

$BookValue=90,000-90,000*0.3333-90,000*0.4444-90,000*0.1482=6,669$

Since taxes are based on the profit you make by selling something, our profit is:

$Profit=12,000-6,669=5,331$

Therefore, our taxes are:

$Taxes=5,331*0.35=1,866$

So, the after tax salvage value of the machine is the money you received on the sale minus the taxes you have to pay, that is:

Salvage Value of the Machine = $12,000 - $1,866?= $10,134

That is option D)

Best of luck.

3 0

3 years ago

You are told the column totals in a trial balance are not equal. After careful analysis, you discover only one error. Specifical

Alex777 [14]

Answer:

a. The Debit column is correctly stated.

b. The Credit column is understated by $17,300 ($8,650 * 2).

c. The Automobiles account balance is correctly stated in the trial balance.

d. The Accounts Payable account balance is understated in the trial balance by $17,300 ($8,650 * 2).

e. If the Debit column total of the trial balance is $200,000 before correcting the error, the total of the Credit column before correction is $182,700.

Explanation:

This mistake is an Error of Commission. It is a problem of arithmetical accuracy, for example, posting to the wrong side of one ledger account. In this case, the Accounts Payable should have been credited with the amount of $8,650. As an arithmetic error, it can only be corrected by doubling the affected amount on the Credit side of the Accounts Payable account.

3 0

2 years ago