Its actually <em><u>A) Office Managers and Human Resource workers</u></em>
Housing insurance and food stamps I think?
Answer:
Inside the Production Possibility Frontier.
Explanation:
PPF is a curve that shows the various combination of 2 goods that an economy produces when resources are fixed. Thus, any point or bundle inside the production possibility frontier shows inefficiency in the production while the point on the production possibility frontier shows the efficient production from the available resources. But, the point outside the PPF exhibits a non-achievable point.
Answer:
The break-even EBIT using EPS is $1,288,000.
Explanation:
the break-even EBIT using EPS is the EBIT that will brings EPS under two different capital structure equal.
Denot X is the EBIT.
* We have:
+ EPS in all-equity firm = X/460,000
+ EPS in levered firm = ( X - interest rate)/230,000 = ( X - 4,600,000 x 14%)/230,000 = (X - 644,000) / 230,000.
* We have the equation:
X/460,000 = (X-644,000)/230,000 <=> X/460,000 = 2.8 <=> X = $1,288,000.
So, the break-even EBIT using EPS is $1,288,000.
Answer:
A deferred tax liability will be reported on the balance sheet
b) trademark
as longterm assets refers to those assets that will not become cash within a one-year period
Explanation:
As the accounting makes the depreciaiton of the asset among 8 years
while the MACRS (depreciaiton for tax purposes) does it in 5 years
the company will pay lower income taxes now but, higher in the future
creating a tax liability as the tax relief occurs now.
Calculations:
Account Depreciation Expense
(cost - salvage value )/ useful life =
(130,000 - 10,000)/ 8 years = 8,000
Tax-purpose depreciation expense
130,000 x 20% = 26,000
There is a tax difference of (26,000 - 8,000) x corporate income tax
