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g100num [7]
3 years ago
10

If Rob and Lori purchased a home for $250,000 with an additional $4,000 in related purchase costs and then added a swimming pool

at a cost of $30,000 and a new air conditioning system at a cost of $5,000, what would their adjusted basis be when they sell the home?
Business
1 answer:
slamgirl [31]3 years ago
7 0

Answer:

$289,000

Explanation:

The computation of the adjusting basis in case of sale of the home is shown below:

= Purchase value of home + additional purchase cost + cost of swimming pool + new air conditioning system

= $250,000 + $4,000 + $30,000 + $5,000

= $289,000

In case of sale of the home, we consider all the costs which are given in the question as it related to the sale of the home

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On January 1, Year 1, Savor Corporation leased equipment to Spree Company. The lease term is 9 years. The first payment of $698,
Lelu [443]

Answer:

The interest revenue will Savor record in Year 1 on this lease at 9% is $347,697

Explanation:

Present value of Lease Payment = $4,561,300

Less: First Payment on Jan 1, 2018 = $698,000

Remaining Balance = $3,863,300

Interest Revenue for Year 1 at 9% = $3,863,300 × 9%

Interest Revenue for Year 1 at 9% = $347,697

8 0
3 years ago
A company's fixed operating costs are $420,000, its variable costs are $3.20 per unit, and the product's sales price is $4.65. W
Hatshy [7]

Answer: The volume of sales that will result in a break-even point is 289,655 units

Explanation: For any organization or company to break-even means its total costs is just the same as its total revenue. This means no profit, and no loss either. Or better still, profit/loss equals zero.

The equation to determine the profit or otherwise of an organization is given as Revenue minus Cost. That is, the sales figure should exceed the cost of production, and the excess would be the profit. If on the other hand the cost of production exceeds the sales figure, then the equation would result in a negative figure which simply means a loss has been recorded.

In the question above, the costs have been given as;

Fixed cost = 420000

Variable cost = 3.2y

Total cost = 420000 + 3.2y

Where y is the number of units produced.

Also the revenue has been given as 4.65y

That is, sales price multiplied by number of units produced/sold

The profit is given as revenue minus cost while the break-even point is given as revenue equals cost, that is;

420000 + 3.2y = 4.65y

Collect like terms and you have;

420000 = 4.65y - 3.2y

420000 = 1.45y

Divide both sides by 1.45

289655.172 = y

y ≈ 289,655

Therefore the sales volume that will result in a break even point is 289,655 units

7 0
3 years ago
Orel's credit card has an APR of 12.15% and a grace period of 16 days, and Orel pays his balance in full every month. If his las
Aneli [31]
. yes, because he didnt pay within the grace period 
3 0
3 years ago
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A commercial building with a market value of $200,000 has an insurance policy with an 80 percent coinsurance clause. The owner c
RideAnS [48]

Answer:

$45,000

Explanation:

In this case the market value is $200,000 but the policy limit is only $120,000, with a coinsurance of 80%.

Since the amount of loss = $60,000, the insurance company will pay:

(stop limit / value) x loss = ($120,000 / $160,000*) x $60,000 = 0.75 x $60,000 = $45,000

*the $160,000 value is determined by multiplying the fair market value of the property times the coinsurance = $200,000 x 80% = $160,000

8 0
3 years ago
Nothing can stay the same
alexandr402 [8]

Answer:

:-) -,-

Explanation:

thanks thanks appreciate it

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3 years ago
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