All categories

3 years ago

If your friend Raheem asks you, “What type of account should I use to save for retirement,” what would you tell him?

Business

1 answer:

SSSSS [86.1K]3 years ago

7 0

Answer:

Roth IRA account

Explanation:

The best type of account that you should save money in for Retirement is a Roth IRA account. This will allow you to put and save a maximum of $5,500 USD per year which will compound annually with interest and can be redeemed when you retire. Once you redeem your money at the age of 65 1/2 it will be completely tax-free. Meaning you have no liabilities with that money whatsoever and you can simply enjoy your retirement with that money.

You might be interested in

Supply chain management systems are one type of ________ because they automate the flow of information across company boundaries

AlexFokin [52]

Answer:

inter-organizational system

Explanation:

An inter-organizational system refers to the network amongst organizations, or "sharing communications system between such a number of companies." The most common method of inter-organizational systems is electronic communications exchange, which allows for the immediate desktop-to-computer transmission of information.

The inter-organizational rules allow knowledge exchange to be streamlined between companies in terms of achieving a planned supply-chain management structure that allows profitable businesses to evolve. It facilitates customer needs planning and products and services distribution.

4 0

3 years ago

Each of the following items must be considered in preparing a statement of cash flows. Indicate where each item is to be reporte

Mashcka [7]

Answer:

(a) Operating activity

(b) Financing activity

(c) Operating activity

(d) Investing activity

Explanation:

Basically there are three types of activities:

1. Operating activities: It includes those transactions which affect the working capital, and it records transactions of cash receipts and cash payments.

2. Investing activities: It records those activities which include purchase and sale of the fixed assets

3. Financing activities: It records those activities which affect the long term liability and shareholder equity balance.

So,

(a) Increase in accounts receivable come under the operating activities, and this is to be in a negative amount

(b) Issue of preference shares comes under financing activity, and this is added while computing the financing activities

(c) The depreciation expenses are added in the net income whereas the bond premium amortization is to be deducted from the net income. These both items have come under operating activities

(d) An increase in land value comes under the investing activity.

4 0

3 years ago

Indigo, Inc. had net sales in 2020 of $1,471,700. At December 31, 2020, before adjusting entries, the balances in selected accou

Pani-rosa [81]

Answer:

December 31, 2020

Dr Bad Debt expense 18,690
Cr Allowance For Doubtful Accounts account 18,690

Explanation:

First we need to determine the total amount of uncollectible accounts receivable = $385,600 x 6% = $23,100

Then we must subtract the amount already recorded in allowance for doubtful accounts from our total uncollectible accounts = $23,100 - $4,410 = $18,690

We have to debit the difference and credit the contra asset account:

Dr Bad Debt expense 18,690

Cr Allowance For Doubtful Accounts account 18,690

6 0

3 years ago

Carlos bought a $235 water heater with his credit card. He used the water heater for five years before replacing it. He paid off

Effectus [21]

Answer:

c 4.12

trust me ok

8 0

3 years ago

Fill in the blanks: 1. The situation when law of demand is not applicable is known as it's............ 2. When price of one good

Kryger [21]

Answer:

1. The situation when law of demand is not applicable is known as it's EXCEPTION.

2. When price of one good affects to the demand for other good, this situation is known as CROSS ELASTICITY OF DEMAND

3. Demand is the effective desire backed by the ABILITY and WILLINGNESS to buy the product.

Explanation:

Demand is a term that is born out of the human desires , wants or needs.

Demand can be defined or referred to as the amount a consumer is able and willing to pay in other to purchase goods and services that they desire or want.

The Law of demand states that the Quantity of goods and services demanded is inversely proportional to the prices of these goods and services. This means when the prices of goods increase, the quantity demanded decreases and when the prices of goods decreases ,the quantity of goods and services demanded increases.

Elasticity of Demand can be defined as the responses or effects of changes in price of goods and services on changes in the quantity demanded.

We have 4 types of Elasticity of Demand

a) Price Elasticity of Demand: This is when the quantity of goods and services demanded is affected by the change in price.

b) Price Elasticity of Supply: This is when the quantity of goods and services supplied is affected by the change in price.

c) Cross Elasticity of Demand: This is when the price of one good affects to the quantity demanded for other good,

d) Income Elasticity of Demand: This when the quantity of goods and services demanded is affected by the changes in the income of the consumer.

There are situations whereby the law of demand is not applicable and this is referred to as it's exceptions. Those situations are:

a) The type of goods and services.

b) When changes in the price of the goods and services is expected by consumers.

c) Changes that occurs in fashion or styles of a particular product ( This is when a product goes out of fashion or the style becomes outdated)

4 0

3 years ago