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sesenic [268]
3 years ago
14

Axle Corporation acquires​ 100% of Drexel​ Corporation's stock from​ Drexel's shareholders for​ $500,000 cash. Drexel Corporatio

n has assets with a​ $600,000 adjusted basis and an​ $800,000 FMV. The assets are subject to​ $200,000 in liabilities. Drexel Corporation shareholders purchased their stock eight years ago for​ $300,000. Axle​ Corporation's basis in the Drexel Corporation stock is:
Business
2 answers:
Tasya [4]3 years ago
7 0

Answer:

$500000

Explanation:

A stock basis is the purchase price of the stock after commissions and expenses. Axle​ Corporation's basis in the Drexel Corporation stock is $500000 because the basis of a stock is its cost.  Drexel Corporation assets and their liabilities in liabilities are not needed in the purchase of a stock. The basis of property shall be the cost of such property and not including the property taxes

kolbaska11 [484]3 years ago
5 0

Answer:

$500,000 Axle​ Corporation's basis in the Drexel Corporation stock.

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Kent Manufacturing produces a product that sells for $50.00 and has variable costs of $24.00 per unit. Fixed costs are $260,000.
ziro4ka [17]

Answer:

$29.50

Explanation:

The computation of the contribution margin per unit is shown below:

Contribution margin per unit = Selling price per unit - Variable cost per unit

where,

Selling price per unit is $50

And, the variable cost per unit = $24 - $3.5 = $20.5

Now put these values to the above formula  

So, the value would equal to

= $50 - $20.5

= $29.50 per unit

8 0
3 years ago
When curt’s catering first opened, the owner decided to target only events at resorts in its geographic region. curt’s catering
DochEvi [55]

When curt’s catering first opened, the owner decided to target only events at resorts in its geographic region. curt’s catering was using a(n) <u>concentrated </u>targeting strategy.

Concentrated marketing is a marketing strategy in which a company focuses on a specific audience for most or all of its marketing initiatives. Companies that use focused marketing emphasize how their products meet the unique needs of a niche audience.

A marketing segmentation strategy in which we focus all our efforts and resources on services to market segments. Also known as niche marketing.

There are typically four different types of market targeting strategies.

Mass Marketing (Undifferentiated Marketing)

Segmented Marketing (Differentiated Marketing)

Centralized Marketing (Nitch Marketing)

Micro Marketing.

Learn more about concentrated targeting strategy here: brainly.com/question/17198359

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8 0
2 years ago
Suppose that a country has no public debt in year 1 but experiences a budget deficit of billion in year​ 2, a budget surplus of
Anit [1.1K]

Answer:

a. 72 billion

b. 69.2%

Explanation:

a. The absolute size of its public debt in year 4 would be the total value of the deficit from year 1 till 4.

= 0 + 50 + 30 - 10 (budget surplus so it reduces deficit) - 2

= 72 billion

b. Percentage of real GDP in year 4;

= (72/104) * 100%

= 69.2%

8 0
3 years ago
Which sentences describe characteristics of a sole proprietorship?
Alex
These sentence is right : 
- The owner accepts full financial liability
- All profits go to the individual who owns the business.

In a sole proprietorships, only one person had the control over the business, therefore, all the profit and liabilities that had been earned by the business will go to that one person
8 0
3 years ago
Determine the total relevant cost per unit if starters are purchased from an outside supplier.
lana [24]

The total relevant cost per unit if starters are purchased from an outside supplier would include the contract price or the amount you would have to pay for the purchase and the freight of the product purchased. The total cost would include these two and dividing this total cost with the number of units purchased would yield to the relevant cost per unit. 

7 0
4 years ago
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