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3 years ago

What are tax credits?

Business

1 answer:

stepladder [879]3 years ago

7 0

Answer: Refundable Tax Credit

Explanation:

When a tax credit is able to reduce your tax liability to below zero and then the remainder is returned to you, that is a Refundable Tax Credit. For Instance, if you get a Refundable tax credit from the IRS of $300 and your Tax Liability is $250 then not only do you not have to pay the liability but the IRS will give you $50 which is the remainder after the tax credit reduced the liability to $0.

If you have $0 in Liability, you can still apply for a Refundable Tax Credit which means that you will be paid the whole thing.

Some people therefore first calculate their taxes and then remove the deductions and apply for Non-refundable tax credits and then when their liability is at the lowest, they apply for a Refundable Tax Credit which then means that they can stand a chance to get something from the IRS.

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Jane Spring maintained this record of vehicle expenses for last year: gas, $845.96; oil, lube, miscellaneous, $68.85; insurance,

allochka39001 [22]

Answer:

Depreciation: $4,000.00

Variable costs : $914.81

Explanation:

The value of the car when new = $19,860.00

Values after two years =$11,860.00

Accumulated depreciation for two years

= $19,860.00 - $11,860.00

=$8,000.00

Assuming straight depreciation method, depreciation each of the two years

=$8,000.00/2

=$4,000.00

Variable costs are the cost that changes with usages. In this case, variable costs are gas and oil, lube, and miscellaneous.

Variable costs = $845.96 + $68.85

Variable costs = $914.81

7 0

3 years ago

Read 2 more answers

Using the income statement method for accounting for uncollectible accounts, a company estimates that 2.5% of credit sales will

Digiron [165]

Answer:

the adjustment for estimated uncollectible accounts will require

b. Debit to Bad Debt Expense for $10,000.

Explanation:

There are two primary methods for estimating bad-debt expense. The first is an income-statement approach that measures bad debt as a percentage of sales.

Accout receivable at the end_ 80000

Credit sales_______________400000

Estimate________________ 2,50%

Debit bas debt expense______10000

7 0

3 years ago

Should the United States acced to the United Nations Law of the Seas without reservations?

grin007 [14]

I think that the answer to this question should be based upon your opinion sorry if you were expecting the actual answer

5 0

3 years ago

Suppose that real domestic output in an economy is 20 units, the quantity of inputs is 10, and the price of each input is $4. An

weqwewe [10]

Answer:

A. supply curve shifts to the left

Explanation:

An increase in the prices of inputs from $4 to $6 shows economic problems that include a reduction in capital stock, labor, and an increased unemployment rate. This can also give room for inflation.

This increase shows that due to shortage in labor supply, it now costs more to produce a product.

Due to all the above mentioned reasons, the supply curve of both long run and short run supply curves shifts left.

Cheers.

7 0

3 years ago

Land held for possible plant expansion would be included as an operating asset when computing return on investment (ROI).

Softa [21]

Answer:

B. False

Explanation:

Land held for possible plant expansion would NOT be included as an operating asset when computing return on investment (ROI).

Return on investment (ROI) is used to measure the profitability of an investment. It helps to compare the gain or loss from an investment in relation to its cost.

Return on investment can be used to determine

1. Profitability of a stock investment,

2. Profitability of the purchase of a business investment

3. Profitability of a real estate business

ROI = Net return / cost of investment × 100

Net return= Final value of investment - initial value of the investment

6 0

3 years ago