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shtirl [24]
3 years ago
9

Iris, a calendar year cash basis taxpayer, owns and operates several TV rental outlets in Florida and wants to expand to other s

tates. During 2019, she spends $14,000 to investigate TV rental stores in South Carolina and $9,000 to investigate TV rental stores in Georgia. She acquires the South Carolina operations but not the outlets in Georgia. As to these expenses, Iris should:
Select one:a. None of the above.b. Expense $9,000 for 2018 and capitalize $14,000.c. Expense $23,000 for 2018.d. Capitalize $14,000 and not deduct $9,000.e. Capitalize $23,000.
Business
1 answer:
nasty-shy [4]3 years ago
6 0

Answer:

C) Expense $23,000 for 2018.

Explanation:

Iris owns and operates TV rental outlets, so all the expenses she makes while investigating possible purchases of related businesses (other TV rental outlets) can be deducted from her income. This deductions can be made regardless of whether Iris ended up purchasing the new stores or not.  

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g A decrease in aggregate demand will cause prices to fall according to classical economists, and unemployment to increase accor
Mashcka [7]

Answer:

prices to fall according to the classical economists and unemployment to increase according to Keynes.

Explanation:

The classical economists believes that a decrease in aggregate demand for goods produced would being about fall in the prices of such goods. What this implies is that as more goods are produced, if such production is not backed by corresponding demand by consumers, the prices of such goods produced will eventually fall because supply is greater than demand.

For the Keynes, their argument is that a decrease in aggregate demand will cause unemployment to increase. This is because owners of businesses or employers would lay off their employees when goods produced exceeds the demand for such production by consumers. Here, owners of businesses pays their employees through sales of goods produced. So, when the goods produced are not purchased, then there will be excess availability of such goods; hence no sale or profit, from which salaries would be paid. The next step is to start laying off employees because employers cannot cover their running costs.

7 0
2 years ago
Which of the following statement(s) is(are) true regarding the selection of a portfolio from those that lie on the capital alloc
Mice21 [21]

Answer:II) More risk-averse investors will invest less in the optimal risky portfolio and more in the risk-free security than less risk-averse investors. III) Investors choose the portfolio that maximizes their expected utility.

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Investors generally choose portfolios that guarantee maximum profits with reduced chances of loss. More risk averse investor will choose or opt for less risky portfolio.

4 0
2 years ago
In the russian domain, where does the commercial agricultural products concentrate
notsponge [240]
<span>Belarus and central European Russia had very long growing season, but they had acidic podzol soils that  limit farm output</span><span>.  Three environments influence agriculture in this region</span><span>, Poor soils, cold temps, forests north of Moscow and St. Petersburg.  </span>Soils support commercial wheat, corn, sugar, beets, meat production.
5 0
3 years ago
Bello, Inc., has a total debt ratio of .31.
lutik1710 [3]

Answer:

a. Debt Equity ratio is calculated by dividing long term Debt by total equity of the company.

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Explanation:

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b. Equity multiplier is also known as price /earning ratio. A price/earnings ratio or P/E ratio is the ratio of the market value of a share to the  annual earnings per share. For every company whose shares are traded on a  stock market, there is a P/E ratio. For private companies (companies whose shares are not traded on a stock market) a suitable P/E ratio can be selected and  used to derive a valuation for the shares.

Equity Multiplier or P/E ratio=Market value per share/Earning per share.

4 0
2 years ago
Power Pro, a leading manufacturer of lawn and garden equipment, releases a new line of cordless, lightweight, electric weed trim
poizon [28]

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