Answer:
yes it makes.although it doesn't buy love and affection. it fulfills our need which makes us happy.
For most businesses, annual straight line depreciation expense on the company's building is fixed cost.
A fixed cost is one that does not change no matter how many units of a good or service are produced or sold. Fixed costs are expenses a company must pay regardless of the specific economic operations it does. As a result, fixed expenses are often indirect because they have nothing to do with how a firm produces any goods or services. Both fixed expenses and variable costs, which together make up a company's total costs, are common. It's common practice to reduce fixed expenses by using shutdown points.
Learn more about fixed costs here:
brainly.com/question/17100497
#SPJ4
Answer:
Increase interest deductions for the limited partners.
Explanation:
In the given scenario the general partner refinances an existing $5,000,000 mortgage on a $10,000,000 property to the original amount of $8,000,000. The interest rate on both mortgages is the same.
Refinancing a loan means that more money is disbursed to the borrower before the termination of the loan.
When a loan is refinanced at the same interest rate the borrower pays more interest.
For example if the mortgage remains at $5,000,000 the interest paid on this principal will be lower.
When the loan is refinanced to $8,000,000 at the same Interest rate the interest paid will be higher because principal is higher.
So the general partner aims to increase the amount of interest paid.
