Answer:
$3,000 of net short-term capital gain will be taxed at marginal rates
Explanation:
The $14,000 long-term capital loss will offset the $10,000 long-term capital gain. The remaining $4,000 long-term capital loss can offset some of the net short term capital gain: $7,000 - $4,000 = $3,000
Answer:
The correct option is d. None of the answers is correct.
Explanation:
Margin : The margin denotes the ratio between net operating income and sales so that the we know how much the company is earning profit during a particular year.
So,
The formula to calculate the margin = Net operating income ÷ Sales
Based on the given information which is mentioned in the question:
The western Division margin = Net operating income ÷ Sales
= $15,000 ÷ $ 150,000
= 0.1
The eastern Division margin = Net operating income ÷ Sales
= $ 16,500 ÷ $300,000
= 0.055
Since, by considering above calculations, we get to know that the western division margin has higher margin than eastern division margin by 0.045
Therefore, the correct option is d. None of the answers is correct
Answer:
The amount allocated to ending inventory is $ 11,520
Explanation:
Using LIFO basis of inventory valuation implies that the items received last are sold first,in other words, sales of 160 units comes from the purchases of 240 units made on July 5,that leaves 80 units of the purchase in closing inventory.
However,the sale of 140 units on 30 July is taken from purchases of 120 units on July 21 as well as purchases of July 5.
The amount allocated to ending inventory is computed below:
July 5 60 units at $112 $6,720
opening inventory 40 units at $120 $4,800
Value of closing inventory $11,520
Answer:
The amount Swifty debited to the appropriate account in 2017 to write off actual bad debts: $25,800
Explanation:
Allowance for uncollectible accounts at the end of 2017 = Allowance for uncollectible accounts at the end of 2016 + Bad debt expense of 2017 - The amount of write off actual bad debts.
The amount of write off actual bad debts = Allowance for uncollectible accounts at the end of 2016 + Bad debt expense of 2017 - Allowance for uncollectible accounts at the end of 2017 = $180,500 + $32,800 - $187,500 = $25,800