Answer:
The answers are:
- Jerry must recognize $0 of gain on the transfer of the rental house
- Sally's tax basis is $80,000
Explanation:
Capital gains taxes are usually excluded when you sell a house or transfer the house in a divorce settlement. The exclusion is up to $250,000 of capital gains.
Since Sally didn't buy the house, but received it as part of their divorce settlement from Jerry, the same cost basis will apply to Sally.
Answer:
The answer is <u>"majority rule".</u>
Explanation:
Majority rule is a term which refers to a standard of basic decision making in a predetermined group. Simply we can say that this rule requires that the vote of an individual is considered as equal to the other members and that no vote or choice by a minority may abrogate that of a majority.
Answer: C. the game plan management is using to stake out a market position, conduct operations, attract and please customers, compete successfully, and achieve organizational objectives
Explanation:
What stands out a firm is in its strategy. This strategy is embedded in how the firm plans it's game, using divers market position and ways on how to source for buyers to be attracted to it's product or services, which makes them glued to it. Conducting operations to ensure this services are well carried out to please the customers and provide after sales/service to curb any challenge.
Answer:
1. $6.50 per machine hour
2. $920
3. $ 17.69
4. $21.23
5. <u>Pricing methodology - Cost plus Mark -up</u>
- This ensures that the price charged covers all costs related to the product, which is good for maintaining profits.
- However the price does not consider the market demand and competition which might affect sales volumes
Explanation:
<u>Predetermined overhead rate</u>
Predetermined overhead rate = Budgeted Overheads / Budgeted Activity
= $650,000 / 100,000
= $6.50 per machine hour
<u>Total manufacturing cost assigned to Job 400</u>
Direct material $450
Direct labor cost $210
Overheads Applied ($6.50 × 40) $260
Total manufacturing cost $920
<u>Unit product cost for Job 400</u>
Unit product cost = Total Cost / Number of units completed
= $920 / 52 units
= $ 17.6923
= $ 17.69
<u>Selling price if Moody uses a markup percentage of 120%</u>
Selling price = Unit product cost × 120 %
= $ 17.69 × 120%
= $21.23