Answer:
If Joel purchases the warehouse, he can rent it to the corporation and charge the highest possible rent within reasonable terms. Joel can avoid double taxation and the corporation will be able to deduct rent expense.
Joel is also able to deduct depreciation expenses, real estate taxes, and other costs from his passive income.
As an individual, Joel is taxed differently for capital gains in case he sells the warehouse, and that rate is generally lower than corporate tax rates.
Outcome which is expected regarding the hot cocoa industry when the cost of cocoa from south america increases in price, making it more expensive to u.s. businesses is that consumers will decrease the purchase of hot cocoa.
This happens due to the law of demand.
The law of demand describes that demand for any product changes inversely to its price if all other things kept equal. In other words, the higher the price will be, the lower the level of demand will be there.
Because the buyers always have finite resources, their spending on a given product or any commodity is also limited , so higher prices will definitely reduce the quantity demanded.
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Answer:
the correct answer is C. by earning tax benefits
Explanation:
it is a common practice in many countries to provide tax rebates, reliefs and even special lower tax rates for environmentally friendly green products and environmental friendly production processes. this is a main way a company can benefit by having a green business model.
<em>If the marketing managers at Peyton Bike's Inc. decide to sell each bike at a price lower than $2,000 per unit</em><em>, a shortage of bikes will be created.</em>
<h3>Why are bikes in short supply?</h3>
As a result, additional problems like plant shutdowns and disruptions as well as the unheard-of increase in bike orders during the peak of the coronavirus pandemic have added to the supply chain difficulties. The sector has never before experienced such a massive increase in demand as it has over the past two years.
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Answer:
D. higher skilled workers were used that performed the task faster than expected.
Explanation:
Labor efficiency variance gives the relationship between the number of direct labor hours you budgeted and the actual hours worked for by the staff.
A favorable direct labor efficiency variance might indicate that higher skilled workers were used that performed the task faster than expected and thus resulting in higher profits.