Answer:
A.$641
Explanation:
Non-residential property has a 39-year recovery period.
Since the property was disposed of in the 10th year = 10/39 = 2.564%
The property was sold on 27 Feb, The mid-month convention applies here which states that all fixed asset acquisitions are assumed to have been purchased in the middle of the month for depreciation purposes.
The depreciation will be calculated as,
= ($200,000 x 2.564% x 1.5/12)
Simmons' maximum depreciation in the 10th year = $641
Answer:
correct option is D. cash budget
Explanation:
solution
Operating budget is a forecast of expenses or revenues which is expect for one or more than one future period
so here Sales budget and production budget and the direct labor budget are the part of operating budget
but cash is asset item and not an expenditure so cash budget is not a part of operating budget
so correct option is D. cash budget
There a couple risks for this money making strategy. Two of the most prominent are
1. The housing market doesn't increase and the value of the home either stays the same or decreases.
2. That the house you are investing in doesn't sell quickly enough or at all.
Both of these situations could cause financial loss.