Answer:
a. 15 times
b. 24.3 days
Explanation:
The computation is shown below:
a. Accounts receivable turnover
Account receivable turnover ratio = Net credit sales ÷ Average accounts receivable
= $3,150,000 ÷ $210,000
= 15 times
b. Number of days sales in receivables = Total number of days in a year ÷ accounts receivable turnover ratio
= 365 days ÷ 15 times
= 24.3 days
Answer: 2
Explanation: $2.7 million divided by $1.35 million is 2.
Answer:
A bond portfolio and a stock portfolio both provided an unrealized pretax return of 8% to a taxable investor. If the stocks paid no dividends, we know that the ________.
The after-tax return of the stock portfolio was higher than the after-tax return of the bond portfolio.
Explanation:
The returns from the bond portfolio are taxed at the corporate rate while returns from stock investments are taxed at a lower rate. It is well-known that the risks from stock are higher than the risks from bonds. As a result, the stock investments always attract higher returns and less tax, as the investor can postpone the tax for a longer term. Again, stock investments can be for the long-term unlike bonds that have defined periods.
Answer:
a. Adjusted Gross income is calculated as;
= Wages + Interest - Deduction
= 41,000 + 700 - 5,000
= $36,700
b. The couple will pick their Standard deduction in 2019 because its more than the itemized deduction.
Standard deduction for couples in 2019 = $24,400
c. I assume you mean their 2019 taxable income which is;
= Adjusted Gross income - Standard deduction
= 36,700 - 24,400
= $12,300
<em>Note; As of 2018 there are no more personal deductions. </em>
