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Nitella [24]
2 years ago
6

Carlos opens a dry cleaning store during the year. He invests $30,000 of his own money and borrows $60,000 from a local bank. He

uses $40,000 of the loan to buy a building and the remaining $20,000 for equipment. During the first year, the store has a loss of $24,000. How much of the loss can Carlos deduct if the loan from the bank is nonrecourse
Business
1 answer:
kvv77 [185]2 years ago
5 0

Answer:

$30,000

$6,000

Explanation:

Carlos risk = $30,000

Carlos risk of $30,000 is the amount of funds which he had invested in the course of his business which is why Carlos is not considered at-risk for the nonrecourse loan reason been that carlos is not found liable because the loan was not used in the business which makes him to have a risk of $30,000.

$24,000 loss that occured will reduces Carlos’ amount at-risk to $6,000

($30,000 - $24,000)

=$6,000

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Gabrielle daily borrows $1,000 at a 6 percent add-on rate for one year.what is the finance charge?answers
denpristay [2]
P - principle of the loan
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FC = ($1,000 x .06 x 1) 
FC = $60

Finance charge is $60.
5 0
3 years ago
Two car manufacturers, Saab and Volvo, have fixed costs of $1 billion and marginal costs of $10,000 per car. If Saab produces 50
igomit [66]

Answer:

Explanation:

First, write down Total fixed cost for each;

Fixed cost; Saab = $1,000,000,000

Fixed cost; Volvo = $1,000,000,000

Next find the Total Variable cost (TVC)

TVC = # of cars per year * marginal cost per car

Saab ; TVC = 50,000* $10,000 = $500,000,000

Volvo ; TVC = 200,000* $10,000 = $2,000,000,000

Average production cost = (Fixed cost + total variable cost) / # of cars per year

Saab = ($1,000,000,000 + $500,000,000)/ 50,000 = $30,000

Volvo = ($1,000,000,000 + $2,000,000,000)/ 200,000 = $15,000

6 0
2 years ago
Explain how a country could have a deficit on its primary income but a current account surplus. 4 marks​
Tatiana [17]
<h2>The following are the reasons for how a country could have a deficit on its primary income but a current account surplus:</h2>

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  • The expenses on developmental activities could be drawn from the primary account rather than drawing them directly from the current account.
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7 0
3 years ago
The Sisyphean Company is considering a new project that will have an annual depreciation expense of $ 4 million. If​ Sisyphean's
vazorg [7]

Answer: $1.4 million

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3 0
2 years ago
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Inga [223]

Customer value proposition refers to the assortment of buyer-specific benefits that a seller provides to a buyer when selling a product.

More about the Customer value proposition:

A customer value proposition (CVP) in marketing is the total of the advantages a vendor guarantees a customer will receive in exchange for the related payment (or other value-transfer).

A company can create value in their product or service while marketing to potential customers by using a customer value proposition. This is frequently determined by totaling the benefits that vendors offer to their customers.

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6 0
1 year ago
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