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olga55 [171]
3 years ago
13

Nancy refinances her home mortgage on June 1 of the current year. She obtains a 30-year mortgage at 5%. As part of the refinanci

ng, she pays points of $3,600 (a customary practice in her location). What amount, if any, of the points are deductible ____________?
Business
1 answer:
mylen [45]3 years ago
4 0

Answer:

Nancy  will be able to deduct $70 points.

Explanation:

the deduction is allowed in the year of payment if the following requirements are met:

- your main home is the security for your loan

- cash method of accounting is used

- points are not paid out of borrowed funds.

if Nancy  does not fulfill the requirements, then the points will be allowed to be deducted over the life of the loan..

Therefore, $3600 will be spread over 30 years, Nancy  will be able to deduct $70 points.

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On december 1, hansen co. Borrowed $100,000 cash from national bank by signing a 90-day, 6% interest-bearing note. On december 3
Lera25 [3.4K]

On March 1, the due date of the note, Hansen will record interest expense as a  <u>debit</u> in the amount of $600.

Interest expense is the cost associated with borrowing money in the form of loans, bonds, and lines of credit. It is the amount paid to lenders for the use of their money and is typically reported as a line item on an income statement.

On March 1, Hansen will record interest expense as a debit in the amount of $600 ($100,000 x 6% x 90/360). The adjusting entry on December 31 was to record the interest accrued on the note between December 1 and December 31 ($100,000 x 6% x 30/360 = $500). Therefore, the interest payable on March 1 is the amount of the loan times the interest rate times the number of days outstanding ($100,000 x 6% x 90/360 = $600).

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3 0
1 year ago
The transactions carried out by BTS Corporation during the year caused an increase in total assets of $150,000 and a decrease in
Marianna [84]

Answer:

21

Explanation:69

4 0
2 years ago
Runaround Corporation sells running shoes and during January they ran production machines for 23,000 hours total and incurred $
viva [34]

Answer:

The answer is: The variable maintenance cost is $0.21 per machine hour

Explanation:

To find the variable maintenance cost per machine hour we must divide the total amount spent in maintenance costs by the total amount of production hours.

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3 years ago
Which trade bloc was created to encourage free trade and economiccooperation between Canada, Mexico, and the United States?
Vsevolod [243]

Answer:

B. NAFTA

Explanation:

North American Free Trade Agreement (NAFTA) is a regional agreement between the Government of Canada, the Government of the United Mexican States, and the Government of the United States of America that created a free trade zone.

NAFTA administers the mechanisms stipulated in the Treaty to resolve commercial disputes between national industries or the governments of the party countries in a timely and impartial manner.

8 0
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The answer is FALSE because a conversion happens when a visitor to the page does whatever the marketer hoped he or she would do. The objective of the marketer will repeatedly be to get visitors to like the page in which case the question correctly defines how to calculate the conversion rate. In other cases, the goal might be for visitors to print a coupon and take it to the store, to book a plane booking or to post a comment or photo. In general, Conversion rates are a measure that specified what percentage of potential customers act as the marketer hopes, and by clicking, buying or donating. 
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