Answer:
The correct answer is $24,500.
Explanation:
According to the scenario, the given data are as follows:
Total Account receivable = $100,000
Amount collected = $70,000
So, if there is sufficient taxable income, then assume tax rate to be 35%.
So, we can calculate the Gains tax by using following formula:
Gain tax = Amount collected × Tax rate
By putting the value, we get
Gain tax = $70,000 × 35%
= $24,500.
Answer:
B. Report it as a discontinued operation.
Answer:
$73,500 is the revenue TopChop will recognize for the arrangement with Carlos.
Explanation:
Revenue is calculated as follows.
= amount received + Use of name
= $56,000 + $35,000 × (1÷2)
= $73,500
New franchise fee can be immediately recognised as income.
Answer:
d. the value of total product minus raw materials costs.
Explanation:
The price of the product multiplied by the quantity produced is the revenue.
Total sales revenue divided by the quantity produced gives the price of the product.
I hope my answer helps you
Answer:
a. a good that is not counted in GDP.
Explanation:
Leisure is not counted in GDP if the leisure activity does not have a market value, and is not exchanged in the markeplace.
For example, going for a walk, or sitting at a park to read are leisure activities that are not considered economically productive, and therefore, are not counted in GDP.
