<u>Solution and Explanation:</u>
a $1080 – the amount is not deductible as it is a penalty for the violation
b $395- Half of the interest amount is not deductible
$395 is calculated as :(465 multiply with (1 minus (0.5 multiply with 0.3))
.
c $676 – the amount which is paid for the office supplies in the month of may in this year is Fully deductible (965 multiply with (1 minus 0.3)).
d $675- the amount which is paid for the several pairs of work boots is not deductible.
Answer:
$1,500
Explanation:
Given that,
Sales = $9,000
Operating costs = $6,000
Depreciation = $1,500
Interest rate = 7%
Federal-plus-state income tax rate = 40%
Operating income or EBIT:
= Sales - Operating costs - Depreciation
= $9,000 - $6,000 - $1,500
= $1,500
Here, the interest rate and taxes were ignored as we want to determine the operating income or earnings before interest and taxes. Interest on bonds is a non operating income.
Answer:
The stock is worth $38.99 per share today
Explanation:
We can calculate the value of the stock using the dividend discount model approach (DDM). The DDM values the stock based on the present value of the expected future dividends from the stock. To calculate the price of the stock today, we simply discount back all the future expected dividends and terminal value (calculated when the growth rate in dividends become constant) to their present value using the required rate of return as the discount factor.
The value of ART company's stock today will be,
P0 or V0 = 2 * (1+0.1) / (1+0.1) + 2 * (1+0.1)*(1+0.09) / (1+0.1)^2 +
2 * (1+0.1)*(1+0.09)*(1+0.06) / (1+0.1)^3 +
[( 2 * (1+0.1)*(1+0.09)*(1+0.06)*(1+0.04)) / (0.1 - 0.04)] / (1+0.1)^3
P0 or V0 = $38.9939 rounded off to $38.99
The answer to the question is "It would be probably high".
If you get your first credit card while you are a full-time student, what you can expect about the card's ARP (Annual Rate Percentage) on outstanding balances is would be probably high.
Answer:Defend or critique the following statement: “People who are unable to put aside their own interests should not be on teams.”
Explanation: I have no clue