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3 years ago

Which one of these is a specific risk?

Business

1 answer:

Natalija [7]3 years ago

8 0

Answer:

(A) A fire at the company's main factory.

Explanation:

A specific risk is a risk that impacts by the minimum number of the assets

As the name implies its specific to the company or a small group of people.

And this type of risk is opposite to the overall risks.

They can be credit and country risk and interest risks etc.

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When using straight-line depreciation to compute depreciation for a partial year:

PtichkaEL [24]

Answer:

compute depreciation for a full year under straight minusline depreciation and multiply it by the fraction of the year that you held the asset.

Explanation:

Under straight-line depreciation, the asset value is spread equally throughout its useful life.

To get the depreciation of a partial year, you need to calculate the depreciation a full year first.

Divide the asset value by the number of its useful years to get depreciation value for one year. To compute partial depreciation, you need to establish the fraction of the year to be depreciated. Divide the number of months by twelve to get the fraction.

To get actual depreciation, multiply this fraction by a full year depreciation.

8 0

3 years ago

According to ______________, stock prices react instantaneously, completely and accurately to all publicly available information

Lelu [443]

Answer:

Theory of Efficient markets

Explanation:

According to this theory stock prices react instantaneously to new information

4 0

3 years ago

_______________________:The selling of goods and services produced in one country to another country.

melamori03 [73]

What Is an Export? By definition, exports are a function of international trade whereby goods produced in one country are shipped to another country for future sale or trade. Exports are a crucial component of a country's economy, as the sale of such goods adds to the producing nation's gross output.

6 0

3 years ago

Leon exchanges an office building which he held as investment property for a bowling alley. His office building has a basis of $

exis [7]

Answer:

According to Section 1031 of Internal Revenue Code, an exchange of like-kind property is referred to as like-kind exchange, if the exchange meets the following criteria:

The property should be exchanged only for the 'like-kind' (same class) property.
The 'like-kind' property that is in exchange should be either used in operations of business or held for investment purposes.
The exchange should be done under specific timing restrictions or requirements (for indirect exchanges through third parties).

Explanation:

A) Explanation: Since both the properties in exchange are real properties which are used in business, this is a like-kind exchange

Description Amount ($)

Fair market value of bowling alley 120,000

Add: Mortgage value L is relieved off 40,000

Amount reali7ed 160,000

Less: Adjusted basis (175:000)

Realized loss by L (15,000) 

C) Explanation: Since the loss realized is due to exchange, the loss is not recognized.

D) Explanation: Since the loss is not recognized, the character of gain or loss could not be

E) Explanation: The total of realized loss, $15,000 (From Requirement (b)) is deferred.

F) Determine the basis of property acquired in exchange, bowling alley.

Description Amount ($)

Fair market value of bowling alley 120,000

Add: Deferred loss 15,000

Basis of bowling alley 135,000

8 0

3 years ago

A company paid $43,800 plus a broker's fee of $675 to acquire 7% bonds with a $46,000 maturity value. the company intends to hol

Alona [7]

When the bonds will mature, the company will receive, maturity value plus the interest earned on the bonds.

The maturity value will be the par value, as nothing is given, the bonds are redeemed at par value i.e. $ 46,000.

The interest income will be calculated as -

Interest Income = 7 % * $ 46,000 = $ 3,220

Thus, the total cash proceeds = $ 46,000 + $ 3,220 = $ 49,220

3 0

3 years ago