1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
tino4ka555 [31]
3 years ago
5

Dave is a plumber who uses the cash method of accounting. This year Dave requested that his clients make their checks payable to

his son, Steve. This year Steve received checks in the amount of $72,750 for Dave's plumbing services. Which of the following is a true statement?
a. Steve is taxed on $72.750 of plumbing income this year
b. None of the choices are correct.
c. Dave may deduct the $72,750 received by Steve.
d. Steve is taxed on $72,750 of income from gifts received this year
e. Dave is taxed on $72,750 of plumbing income this year.
Business
1 answer:
zzz [600]3 years ago
6 0

Answer:

e. Dave is taxed on $72,750 of plumbing income this year.

Explanation:

Based on the information given if Dave clients make their checks payable to his son, Steve based on Dave request in which the son, Steve received checks of $72,750 on behalf of his Dad, Dave's plumbing services, the TRUE STATEMENT will be DAVE IS TAXED ON $72,750 OF PLUMBING INCOME THIS YEAR reason been that to assign income to another person is NOT EFFECTIVE for TAX PURPOSES.

You might be interested in
When a wealthy individual invests his or her own money into a business project or start-up company with little intention to infl
kaheart [24]

​The answer is: Angel investor

Angel investors only injected their capital with the businesses if they believe that the leaders are capable in making the decision by their own.

This hands-off approach in investments tend to be reall risky. But Angel investors tend to be wealthy enough to the point where they can afford the financial blow back even if a couple of their start up investments fail.

7 0
3 years ago
Midwest Fabricators Inc. is considering an investment in equipment that will replace direct labor. The equipment has a cost of $
Ne4ueva [31]

Answer:

Average rate of return =  14 %

Explanation:

Average rate of return = Annual average return/ Average Investment

Average investment =( Initial investment + scrap value)/2

Average investment = 138,000 + 12,000/2 =75,000

Average annual return = Savings in cost - energy cost - depreciation

Depreciation = (initial cost - scrap value)/2= (138,000 - 12,000)/2= 12600

Average annual return = 29,780-6,680-12600= 10500

Average rate of return = 10,500/75,000 × 100= 14 %

Average rate of return =  14 %

6 0
3 years ago
Universal Travel Inc borrowed $500,000 on November 1, 2018 and signed a twelve month note bearing interest at 6% Principal and i
horrorfan [7]

Answer:

Interest will be $5000

So option (A) will be correct option

Explanation:

We have given principal amount P = $500000

Rate of interest = 6 %

Time is November 1 to December 31

So time = 2 months = 0.1666 year

Interest is given by

Interest =\frac{principal\ amount\times rate\times time}{100}=\frac{500000\times 6\times 0.1666}{100}=$5000

So option (a) will be correct option

4 0
3 years ago
3 . Relationship between tax revenues, deadweight loss, and demandelasticity
Molodets [167]
Taxing a good with relatively less elastic demand, helps government to raise more revenue with lower welfare loss.
5 0
3 years ago
A chef who is responsible for preparation of salads, cold appetizers, and pâtés is called a
vampirchik [111]

Correct answer is C, Pantry Chef.

The area where salads, cold appetizers, pates, canapes, terrines, etc are made is called Pantry. And the person who is in charge of this area is called the Pantry Chef.

A pantry chef is responsible for the making of the above mentioned food in the pantry area.

3 0
3 years ago
Other questions:
  • George is selling his house. he received an offer from katie for $200,000 but decided to counter-offer for $210,000. what does t
    11·2 answers
  • The valuation you have of yourself is known as
    9·2 answers
  • Rankin Corp. common stock is priced at $74.20 per share. The company just paid its $1.10 quarterly dividend. Interest rates are
    7·1 answer
  • In the month of March, Ivanhoe Salon services 550 clients at an average price of $150. During the month, fixed costs were $26,88
    9·1 answer
  • The cost of a completed job in a job-order costing system typically consists of the actual direct materials cost of the job, the
    5·1 answer
  • A minor explosion occurs at the chemical processing plant of Clement Inc. In order to study the situation and make recommendatio
    11·1 answer
  • A comprehensive risk management program that addresses all of an organization's risks, including hazard risks, financial risks,
    11·1 answer
  • Select the best answer for the question.
    6·1 answer
  • The Sheridan Acres Inn is trying to determine its break-even point during its off-peak season. The inn has 50 rooms that it rent
    5·1 answer
  • An investor purchases a mutual fund share for $100. The fund pays dividends of $2, distributes a capital gain of $3, and charges
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!