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2 years ago

For bonds issued 2019, the taxpayer must amortize bond premium using which of the following methods?

Business

1 answer:

MArishka [77]2 years ago

4 0

Answer:

For bonds issued 2019, the taxpayer must amortize bond premium using the following method:

a. Straight-Line Method.

Explanation:

The premium paid by the taxpayer for a bond represents part of the cost basis of the bond. The bond premium can be tax-deductible at a rate spread out (amortized) over the bond's lifespan. The straight-line method for bond premium amortization is considered to be a simpler method than the effective interest amortization method. While the straight-line amortization divides the bond's total premium over the remaining payment periods, the effective interest, which is more complicated, computes some unique values at all points during the amortization process.

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A department adds raw materials to a process at the beginning of the process and incurs conversion costs uniformly throughout th

ruslelena [56]

Answer:

75,000 equivalent units

Explanation:

Calculation to determine What were the equivalent units of production for conversion costs for the month of March

First step is to calculate completed and transferred units

Completed and transferred units =5,000 + 70,000 − 25,000

Completed and transferred units = 50,000

Now let determine the equivalent units for direct materials cost

Using this formula

Equivalent units for direct materials cost =100% of the completed units + 100% of the ending inventory

Let plug in the formula

Equivalent units for direct materials cost= (50,000 × 100%) + (25,000 × 100%)

Equivalent units for direct materials cost=50,000+25,000

Equivalent units for direct materials cost=75,000

Therefore the equivalent units of production for conversion costs for the month of March is 75,000

3 0

2 years ago

The government offers a subsidy of $5 per unit that increases the profit-maximizing quantity to 200 units. What will the total c

mars1129 [50]

Answer:

An apple, potato, and onion all taste the same if you eat them with your nose plugged

Explanation:

7 0

2 years ago

Johnson, Inc. a builder enters into an agreement to construct a commercial building in a residential area in violation of zoning

lubasha [3.4K]

None of the alternatives are correct.

Explanation:

When a builder enters into an agreement to construct a commercial building in the residential areas that violates the laws , as a result the government stops construction. If such a scenario occurs the workers will not be paid as the construction process has stopped, so no productivity will take place and thus the workers will have to face the scenario.

While signing a contract the contractor must have proper knowledge regarding the property. Otherwise the workers will not be able to earn their daily wage.

7 0

2 years ago

Suppose country X partially specializes in the production of only two goods, food and clothing. At the initial free trade equili

alekssr [168]

If food consumption should rise by 42 units we can conclude that country X’s willingness to trade declines.

<h3>The reason why the willingness to trade would decline</h3>

The willingness to trade for this country would be on a decline given the fact that X's countyry is on a balanced growth path and the prices of their goods are unchanged in the international market.

Due to the lack of change they would not want to engage in trade again with other countries.

Read more on technological innovation here:brainly.com/question/19969274

4 0

1 year ago

A factory worker earns $500 per week and will receive a $2,000 bonus at year-end, a 2-week paid vacation, and 5 paid holidays. T

Scorpion4ik [409]

Answer:

$70

Explanation:

Data provided in the question:

Earnings per week = $500

Bonus received per year = $2,000

Paid vacation = 2 weeks

Paid holidays = 5

Now,

Since the workers have 2 weeks of vacation the fringe benefit will be calculated for 50 weeks

[as 1 year have 52 weeks, so 52 - 2 weeks = 50 weeks]

Now,

Bonus per week = $2,000 ÷ 50 weeks

= $40 per week

Vacation pay for the year = Earning per week × Total vacation per year

= $500 × 2 weeks = $1,000

Thus,

Vacation pay per week = $1,000 ÷ 50 weeks

= $20 per week

since there are 5 days working in a week

Holiday pay per day = $500 ÷ 5 days

= $100 per day

Thus,

Total holiday pay for a year = Holiday pay per day × total holidays per year

= $100 × 5

= $500

Therefore,

Holiday pay per week = $500 ÷ 50 weeks

= $10 per week

Hence,

Combined amount of accrual

= $40 + $20 + $10

= $70

5 0

3 years ago