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a_sh-v [17]
3 years ago
11

Based on his investment advisor's guidance, Christopher sold two stocks during 2020. The capital gain on the sale of Magnificent

Inc. was $35,000 and the capital loss on the sale of Rotten Tomatoes Inc. was $7,000. Christopher needs the money for a downpayment on a condo. If Christopher is in the highest marginal tax bracket of 53.31%, what is the net amount that he will receive after taxes are paid on the sale of these shares to use towards the purchase of a condo
Business
1 answer:
Mamont248 [21]3 years ago
6 0

Answer:

The question is incomplete since we are not told if the capital gain is a short or long term gain. So I will answer the question in both possible scenarios.

Short term capital gains:

They are taxed as ordinary income, so the net gain = $35,000 - $7,000 = $28,000

Net gain after taxes = $28,000 x (1 - 53.31%) = $13,073.20

Long term capital gains:

They are taxed at a much lower rate that ranges from 0 to 20%. In this case, Christopher is probably taxed at 20%.

Net gain after taxes = $28,000 x (1 - 20%) = $22,400

Explanation:

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A small assembly line currently produces 8000 widgets per week. Assume that there are two inputs: labor and materials. There are
Ostrovityanka [42]

Answer: 1 widget per dollar

Explanation:

The weekly productivity level for this operation will be calculated thus:

Output = 8000 widgets per week.

Input = Labor Cost + Material Cost

= (5 × 40 × $15) + (100 × $50)

= $3000 + $5000

= $8000

Productivity = Output / Input

= $8000 / $8000

= 1 widget per dollar

5 0
2 years ago
Pedregon Corporation has provided the following information: Cost per Unit Cost per Period Direct materials $ 6.95 Direct labor
Paraphin [41]

Answer:

The correct answer is $27,675.

Explanation:

According to the scenario, the given data are as follows:

Variable manufacturing OH = $1.75

Fixed manufacturing OH = $19,800

Units = 4,500 units

So, we can calculate the total amount of manufacturing overhead cost by using following formula:

Total manufacturing OH = Total variable OH + Total fixed OH

Where, Total variable OH = $1.75 × 4,500 = $7,875

By putting the value, we get

Total Manufacturing OH = $7,875 + $19,800

= $27,675

7 0
3 years ago
Sustainable development refers to A. placing restraints on a company's growth until all ancillary support services are in place
Semmy [17]

Answer:

The correct answer is letter "C": conducting business in a way that protects the natural environment while making economic progress.

Explanation:

Sustainable development is the capacity an institution has to satisfy individuals' needs without damaging the environment neither harming the atmosphere. To reach this stage there must be an equilibrium between the <em>economy, society, </em>and <em>the environment.</em> Sustainable development is difficult to be obtained with high poverty rates, habitats destruction, or indiscriminately resources exploitation.

4 0
3 years ago
Assume that the money demand function is (M / P)d = 2,200 – 200r, where r is the interest rate in percent. If the price level is
Wittaler [7]

Answer:

The money supply should be set at 800

Explanation:

In this question, we are asked to calculate the value at which Fed should set the money supply at after fixing the interest rate at 7 percent.

We proceed as follows;

Let the new money supply be M.

To fix the interest rate at 7%, r= 7 and P = 2

(M/P)d = 2,200 - 200r

= 2200 - 200(7)

=2200-1400

= 800

M = 800

8 0
3 years ago
Johnstone Company is facing several decisions regarding investing and financing activities. Address each decision independently.
kipiarov [429]

Answer and Explanation:

As per the data given in the question,

1)

Cash flow Amount               PV Factor at 10% for 8 annual installments                   Present Value

Installments $4,000                  5.3349                      $21,339.60

Down Payment $27,000           1                                $27,000

Value of equipment                                                    $48,339.60

Refer to the PVIFA factor

2)

Table or calculator function FVAD of $ 1

Future value $570,000

n = 5

i = 7.00%

Divided it by FV factor   6.1533    

Annual Deposit   $92,633.22

Refer to the FVAD table

3)

Table or calculator function PVAD of $ 1

Payment $137,000

n = 20

i = 10.00%

Multiplied by PV factor   9.36492

Liability $1,282,994.04

Refer to the PVAD table

5 0
3 years ago
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