Answer:
A ). Look at competitors' sales and profitability
Explanation:
A new business is a fresh entrant in the market. It does not have records to use in projecting future sales. The company will operate in a competitive industry. To be able to predict its sales, the business will have to rely on data from other firms in the industry.
A study of its competitor's sales and profits will provide the business with a clear picture of what to expect. The new entrant figures should not vary with its competitors with huge differences.
Using guesswork is will probably mislead the directors of the business. Most likely, they will get over-ambitious, which will frustrate them when they begin operations. As they are new, they cannot use the previous year's receipts.
Answer:
$2,000
Explanation:
From the question, the initial tax basis of Rubio is $20,000.
In a partnership, share of profit will increase the initial basis while share of loss will reduce it.
As the share of Rubio in the limited partnership loss for the year is $22,000, it will make his tax basis to fall to zero because the loss of $22,000 is greater than his tax basis. The amount by which the loss is greater than his tax basis, i.e. $2,000 ($22,000 - $20,000) will be the loss that is allowed considering only the tax basis loss limitations.
Therefore, $2,000 loss is allowed to be carried over due only to the tax basis loss limitation.
It should be reported as an ordinary<span> gain</span> because the truck is considered as ordinary <span>asset used in the ordinary course of business. The truck was used as service calls apparently used in the normal operation of the company thus the gain on the sale of this asset should be considered </span>as an<span> ordinary gain.</span>
<span>During the past recession, cali-bration company created a <u>flat</u> organization. A flat organization has several managers, and many employees who have to report to each of those appointed managers. This is a good type of organization because everybody takes part in the decision-making process, and thus customer wishes and demands are always taken into consideration. </span>
