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4vir4ik [10]
3 years ago
13

Oscar owns a building that is destroyed in a hurricane. His adjusted basis in the building before the hurricane is $130,000. His

insurance company pays him $140,000 and he immediately invests in a new building at a cost of $142,000. What is the amount of recognized gain or loss on the destruction of Oscar’s building?
Business
1 answer:
damaskus [11]3 years ago
8 0

Answer:

That is $2,000 loss

Explanation:

After the hurricane Oscar received $140,000 for his loss, the adjusted basis for his property was $130,000 so he had a gain of 140,000- 130,000=$10,000.

According to Sec. 1033(a)(2) since the new property that was built (the replacement) was similar we will recognise the amount received from the insurance company ($140,000) to the extent that it pays for the replacement property.

That is

Gain or loss = amount paid by insurance company- cost of replacement property

Gain or loss= 140,000- 142,000

Gain or loss= -$2,000

That is $2,000 loss

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Opera Corp uses the periodic inventory system. For the current month, the beginning inventory consisted of 7,200 units that cost
Kryger [21]

Answer:

$159,057

Explanation:

The computation of cost of goods sold is shown below:-

Total cost of goods available for sale = (7,200 × $10) + (4,000 × $13) + (12,000 × $13.50)

= $72,000 + $52,000 + $162,000

= $286,000

Total units = 7,200 + 4,000 + 12,000

= 23,200

Average cost per unit = Total cost of goods available for sale ÷ Total units

= $286,000 ÷ 23,200

= $12.33

So,

Cost of Goods sold = Sold units during the month × Average cost per unit

= 12,900 × $12.33

= $159,057

Therefore for computing the cost of goods sold for the month we simply applied the above formula.

3 0
2 years ago
Michael Pollan discusses ""industrial organic"" agricultural systems in The Omnivore’s Dilemma. What is / are characteristic(s)
Kipish [7]

Answer:

The characteristics of industrial organic agriculture are:

  • economies of scale and mechanization
  • substitution of conventional inputs such as conventional fertilizer with organic fertilizers
  • bagging technology makes the transport of organic salads possible

Explanation:

Pollan's book discusses how modern individuals have a disconnection between food and knowledge. Modern individuals just pick up their food and practically don't know anything about how that food got reached our tables.

6 0
3 years ago
A decrease in the supply of a good can be expected to cause ____ in the equilibrium price of the good and ____ in the equilibriu
JulsSmile [24]

Answer:

Increase, Decrease

Explanation:

A decrease in the supply results in many buyers competing for very few goods. If the demand is constant, the quantity supplied and price have an indirect relationship. A decrease in the volume of supplied results in an increase in price. Many buyers will be competing for a few products causing the equilibrium price to increase.

A decrease in supply will cause the quantity available for buyers to buy to decline. Consequently, the volume purchased will be fewer.  Equilibrium quantity will, therefore, decrease.

4 0
3 years ago
___________ focuses on clarifying employees’ role and task requirements and providing followers with positive and negative rewar
ArbitrLikvidat [17]

Answer:

transactional leadership

Explanation:

Transactional leadership is a style in which the leader tries to encourage its employees to perform well in their jobs by using rewards and punishments. According to this, the answer is that transactional leadership focuses on clarifying employees’ role and task requirements and providing followers with positive and negative rewards contingent on performance.

7 0
3 years ago
Assume that a firm spends $500 on two inputs, labor and capital. If the wage rate is $20 per hour and the cost of capital is $25
Zolol [24]

Answer:

D. -4/5

Explanation:

Given that

Wage rate = $20 per hour

Cost of capital = $25 per hour

Recall that,

Slope of isocost = -(w/r)

Where,

W = wage rate

r = rental cost of capital.

Thus,

Slope of isocost curve

= -(20/25)

= -0.8 or -4/5

Note that, the negative of the ratio is the price of the two inputs. Also isocost is a line showing the various combinations of inputs which cost the same amount.

6 0
3 years ago
Read 2 more answers
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