Answer:
Investment interest expense deduction is restricted to the extent of investment income.
Investment interest expense deduction = $4600
Explanation:
Answer:
When total expenditures are greater than total production, <u>less</u> is produced than households want to buy, which leads to <u>decrease</u> in inventory, which signals firms that they have <u>under-produced,</u> which causes firms to increase production.
Explanation:
- When total expenditures are greater than total production, then the business will have low production.
- If the production is lower than the customer's demand then it will decrease in inventory.
- If the production is less than the demand of the customer, then in order to fulfill the gap, we need to increase our production.
Answer: It will increase the company's annual operating income by 18%.
Explanation: Operating income is an accounting and finance term which is known as the total amount generated by a business Organisation after the total costs that are associated with the operations and the tax have been deducted from the total revenue generated during the period under review.
AN OPERATING INCOME CAN BE CALCULATED YEARLY OR ANNUALLY (ANNUAL OPERATING INCOME).
The higher the operating income the higher the profit margin earned by the business Organisation.
Answer:
Decrease by $30,000
Explanation:
Cost to buy = 15,000 * $34
Cost to buy = $510,000
Note: Since Ortega is buying 15000 units at $34, the $40,000 avoidable cost on fixed manufacturing overhead is non-applicable.
Cost of making = $150,000 + $240,000 + $90,000
Cost of making = $480,000
So, if Ortega purchases the component from the supplier instead of manufacturing it, the effect on income would be decrease by $30,000 ($510,000-$480,000).
Answer:
A career is like a "building block" and a job is like "castle or a tower"
