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lutik1710 [3]
3 years ago
13

Maria, who owns a 50% interest in a restaurant, has been a material participant in the restaurant activity for the last 20 years

. She retired from the restaurant at the end of last year and will not participate in the restaurant activity in the future. However, she continues to be a material participant in a retail store in which she is a 50% partner. The restaurant operations produce a loss for the current year, and Maria's share of the loss is $80,000. Her share of the income from the retail store is $150,000. She does not own interests in any other activities. a.Maria can offset the $80,000 loss against the $150,000 of income from the retail store. b.Maria will not be able to deduct any losses from the restaurant until she has been retired for at least three years. c.Assuming Maria continues to hold the interest in the restaurant, she will always treat the losses as active. d.Maria cannot deduct the $80,000 loss from the restaurant because she is not a material participant. e.None of these choices applies here.
Business
1 answer:
trapecia [35]3 years ago
3 0

Answer:

a.Maria can offset the $80,000 loss against the $150,000 of income from the retail store.

Explanation:

Maria has been in restaurant firm, for more than 5 years until the current year. So, she is an active participant. Hence, her active loss in her active activity - restaurant loss 80000 can be offset against $150,000 income  from the retail store.

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Two or more organizations that join forces in order to achieve advantages that neither can perform as well alone are known as __
SpyIntel [72]

Answer:

correct answer is Strategic allies

Explanation:

Strategic allies is a arrangement between 2 or more than 2 organization for undertaking mutual beneficial projects even both retain their independence.

as they have less complex than a joint venture  

and for improving their product and development competitor in the market , they can enter into a strategic alliance

so as that both organizations can work on common coal with benefit

so correct answer is Strategic allies  

5 0
3 years ago
In the long run equilibrium, a monopolistic competitor will produce to the point at which A) actual average total costs are at t
Artemon [7]

Monopolistic competition is the economic market model with many sellers selling similar, but not identical, products. The demand curve of monopolistic competition is elastic because although the firms are selling differentiated products, many are still close substitutes, so if one firm raises its price too high, many of its customers will switch to products made by other firms. This elasticity of demand makes it similar to pure competition where elasticity is perfect. Demand is not perfectly elastic because a monopolistic competitor has fewer rivals then would be the case for perfect competition, and because the products are differentiated to some degree, so they are not perfect substitutes.

Monopolistic competition has a downward sloping demand curve. Thus, just as for a pure monopoly, its marginal revenue will always be less than the market price, because it can only increase demand by lowering prices, but by doing so, it must lower the prices of all units of its product. Hence, monopolistically competitive firms maximize profits or minimize losses by producing that quantity where marginal revenue equals marginal cost, both over the short run and the long run.

3 0
3 years ago
The actual cash received from cash sales was $36,006 and the amount indicated by the cash register total was $36,010. Journalize
andrezito [222]

Answer:

Cash shorting = 36,010 - 36,006 = $4

DR Cash                                                                  $36,006

     Cash Short and Over                                        $         4

     CR Sales                                                                            $36,010

There is a shortage of cash as the sales figure is more than the cash amount. The Cash Short and Over account will therefore be debited to reflect this expense.

7 0
2 years ago
Which of the following statements is true of the behavior of total variable​ costs, within the relevant​ range? A. They will inc
grandymaker [24]

Answer:

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Explanation:

Total Variable cost is sum of all the cost incurred in production of total units of goods produced. It is directly proportional to the number of units of goods produced. It helps to analyze cost structure of goods and then decide on pricing strategy of the goods. Some of the examples of variable cost can be packaging cost, raw material’s cost.

Mathematically it can be defined as  

Total variable cost = Total units of goods produced *  variable cost for one unit of good produced  

Hence from the given option  They will decrease as production decreases as the number of units of goods produced will decrease and hence lesser raw material and packaging will be required to produce the goods.

7 0
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