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IRINA_888 [86]
3 years ago
11

Investment interest expense includes:

Business
1 answer:
Oksana_A [137]3 years ago
8 0

Answer:

A)) interest expense from loans to purchase corporate bonds and interest expense from loans to purchase stocks.

Explanation:

An investment interest expense can be regarded as any amount of interest which is been paid on proceeds of loan that is been used in purchasing investments or securities. investment interest expense can be regarded as been deductible under some particular circumstances.

It should be noted that investment interest expense include;

✓interest expense from loans to purchase corporate bonds

✓ interest expense from loans to purchase stocks.

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Which of the following are also known as state sales taxes?
Olenka [21]
(A)Consumption Tax is the answer.........
7 0
3 years ago
Evergreen Corporation manufactures circuit boards and is in the process of preparing next year's budget. The pro forma income st
Monica [59]

Answer:

Operating Profit for next year will be $432,500

Explanation:

Particulars                      Current Year                      Next Year

Sales                                $3,500,000                      $3,500,000 X 95%

                                                                                    = $3,325,000

Less: Costs

Material                             $500,000                      $500,000 X 110%

                                                                                    = $550,000

Labor                                $250,000                      $250,000 X 110%

                                                                                    = $275,000

Overhead                          $275,000                      $275,000 X 110%

                                                                                    = $302,500

Fixed OH                           $600,000                      $600,000 + $45,000

                                                                                    = $645,000

Gross Profit                       $1,875,000                          $1,552,500

Less:

Selling & Administrative    $750,000                          $750,000 X 110%

                                                                                         = $825,000

Fixed Selling                      $250,000                         $250,000 + $45,000

                                                                                          = $295,000

Operating Income              $875,000                                 $432,500  

Operating Profit for next year will be $432,500

5 0
3 years ago
Through coordinating partnerships with dedicated suppliers, Warby Parker have ensured quality, built a lean manufacturing operat
Sedbober [7]

Answer:

B. Profit / Economic

Explanation:

The triple bottom line addresses three factors that a socially responsible company must adhere to. The People / Social factor discusses the importance of the social needs of the customers which the customer must fulfill. The Planet / Environment factors are the factors that discusses about the responsiblity of the company to manufacture environmental friendly products that do not harm the environment and is sustainable. The Profit / Economic factor is one of the three factor which company must try to earn profit to keep the business running and thus benefits by earning profit to a lot of stakeholders.

The quality product is a reason why the customer prefer the company's product which helps the company in making profit. So the profit / economic factor is the right option.

6 0
3 years ago
Xtra Company purchased a business from Argus for $96,000 above the fair value of its net assets. Argus had developed the goodwil
vaieri [72.5K]

Answer:

c. goodwill is not amortized

Explanation:

The answer to this question is simply option c. Goodwill is not amortized

The reason for this is that the goodwill is accrued as a result of an entity paying more for an asset they acquired than what is supposed to be their fair value, putting its brand value into consideration. The Amortization of Goodwill is not something that is permitted . In order for a better accounting, the valuation of goodwill of entity should be done yearly so as to determine an impairment whenever it is required.

7 0
3 years ago
Suppose that a person's nominal income rises from $10,000 to $12,000 and the consumer price index rises from 100 to 105. The per
Kazeer [188]

Answer:

C) Rise about 15 percent

Explanation:

The computation of the increase or decrease of real income is shown below:

Initial income equals to

= Nominal income ÷ Consumer price index

= $10,000 ÷ 100

= 100

If it increases, then it would be

= Nominal income ÷ Consumer price index

= $12,000 ÷ 105

= 114.28

So, the real income is increased from

= 114.28 - 100

= 14.28 approx i.e 15 percent

8 0
3 years ago
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