Answer:option (e)
None of the above
Explanation:
The mid quarter convention applies to this MACRS calculation.
§ 179 expense $500,000
Additional first-year depreciation= [($650,000 - $500,000) × 0.50]
$75,000 MACRS cost recovery ($75,000 × 0.05) 3,750
Total = $78,750
Income from the business before the cost is recovered is $600,000 less. Therefore, the Total cost recovered;
Total cost recovery= (78,750)
§ 179 business income limitation $521,250
Therefore, Augie's total cost recovery deduction;
= $500,000 + $78,750
= $578,750.
Answer:
Stock price now is $65.08
Stock price in 3 years is $78.61
Stock price in 15 years is $ 167.38
Explanation:
The current price of the stock is given by the stock price formula below:
stock price=Di*(1+g)/k-g
Di is the dividend just paid of $2.75 per share.
g is the growth rate of dividend of 6.5%
k is the investors' expected return of 11%
stock price=$2.75*(1+6.5%)/(11%-6.5%)=$ 65.08
In calculating stock price in 3 and 15 years,we use the future value formula
FV=PV*(1+r)^n
PV is the current price
r is the growth rate whereas the n is the number of years
Stock in 3 years=$65.08*(1+6.5%)^3=$78.61
Stock in 15 years=$65.08*(1+6.5%)^15=$ 167.38
Answer:
The correct option is (A) more, greater
Explanation:
According to the risk return trade off, the risk is increased with the return that means if the returns are increased the risk is also increased and vice versa
So as per the given scenario, if there is more risk that investor wants to accept so the return should be more for the investment. This represents the direct relationship between the risk and return of the investment
hence, the correct option is (A) more, greater
Answer:
I found this off of google, "People often get caught up in how much income they earn. This is because income is the primary source of creating wealth for individuals. ... Net worth is the value of all assets minus all liabilities at a given point in time."
Hope this helps, have a great day/night and stay safe! :) :D :3
Answer:
C) A firm's marginal cost curve is equal to its supply curve for prices above average variable cost
Explanation:
A perfectly competitive firm maximizes its profit when its marginal cost = marginal revenue. In the short run, it will continue to produce even if the marginal revenue is lower than its marginal costs, as long as the marginal costs are ≥ average variable costs.
Therefore, all perfectly competitive firms should supply products or services following its marginal cost curve as long as the price ≥ average variable costs.