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3 years ago

Which statements about Section 1231 assets are true? Pick all that apply!!

Business

1 answer:

dem82 [27]3 years ago

4 0

Answer:

The answer is below

Explanation:

Given that Section 1231 assets are a term that is used to describe the real or depreciable trading property acquired for more than a year. For example, landed property, buildings, etc.

Hence, in this case, the correct answer or statement to the question are:

1. If Section 1231 assets are sold and the taxpayer has a realized loss, the loss is a fully deductible ordinary loss

2. If Section 1231 assets held long-term are sold for a realized gain, the taxpayer has a potential long term capital gain that may be taxed at favorable capital gains rates but this result often does not occur

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When transportation costs are added to production costs, it becomes unprofitable to ship some products over a large distance. Th

s344n2d4d5 [400]

Answer:

The correct answer is have a low value-to-weight ratio.

Explanation:

Products that have low weight-value ratios (for example, coal, iron ore, bauxite and sand) also have low storage costs but high movement costs as a percentage of their sales price. Inventory management costs are calculated as a ration of the value of the product. Low product value means low storage cost, since inventory management costs are the dominant factor in storage cost. When the value of the product is low, transport costs represent a high proportion of the sale price.

Consequently, companies that deal with products of low value for weight frequently try to negotiate more favorable transport rates; rates are generally lower for raw materials than for finished products of the same weight.

6 0

4 years ago

Read 2 more answers

What is financial literature

Vanyuwa [196]

<h3>Hello there!</h3>

Your question asks what is financial literature.

<h3>Answer: Knowledge and skills that someone has in making good decisions with the financial sources that they have.</h3>

When you look at the word "financial literature", you can see that it has the word "financial" in it, so that means that it's going to be based off of finance.

Financial literature is knowledge and skills someone has in finance. What this means is that someone has knowledge on how finance works and know ways to stay financially stabled. The knowledge that someone could have is how money works, how to manage the money, and how to turn the money they already have into more money.

The knowledge that an individual could attain from financial literacy could help them in the long run, in which it's highly recommended to learn financial literacy, due to the fact that tons of people are going into debt because they don't know how to manage their finances.

To sum it up, people who know financial literacy would have a high chance in knowing how to manage their money and stay out of debt.

<h3>I hope this helps!</h3><h3>Best regards, MasterInvestor</h3>

8 0

3 years ago

Andy wants to install a new internet connection. He went to take the fastest he can get. What are the maximum speeds for

tresset_1 [31]

Please provide adequate options to choose from.

4 0

3 years ago

Read 2 more answers

Assume that Denis Savard Inc. has the following accounts at the end of the current year. 1.Common Stock14.Accumulated Depreciati

boyakko [2]

Answer:

Denis Savard Inc

Classified Balance sheet

Amount$ Amount$ Amount$

Assets

Current Assets

Cash xxx

Less Cash Restricted for Plant <u>xxx</u> xxx

Expansion

Accounts Receivable xxx

Less Allowance for Doubtful debt <u>xxx</u> xxx

Notes Receivable xxx

Receivables-Officers xxx

<u>Inventory</u>

Finished goods xxx

Work in Process. xxx

Raw Materials <u>xxx xxx</u>

Total Current Assets xxx

Stockholders Equity

Common Stock xxx

Add Paid-in Capital in Excess of <u>xxx</u>

Par-Common Stock.

Total paid in capital xxx

Add Retained Earnings. <u>xxx</u>

Total paid in capital and retained earnings xxx

Less Treasury Stock (at cost) <u>xxx</u>

Total Stockholders Equity <u>xxx</u>

Total Liability and Stockholders Equity xxx

Liability and Stockholders Equity

<u>Current Liability</u>

Salaries and Wages Payable. xxx

Unearned Subscriptions Revenue. xxx

Unearned Rent Revenue. <u>xxx</u>

Total Current Liability. xxx

<u>Long term liabilities</u>

Bonds Payable (due in 4 years) xxx

Less Discount on Bonds Payable <u>xxx xxx</u>

Total Long term liabilities. . xxx

<u>Long term Investment</u>

Preferred Stock (Equity) Investments. xxx

Land Held for Future Plant Site.. xxx

Cash Restricted for Plant Expansion. <u>xxx</u>

Total Long term Investment. xxx

Property, Plants and Equipment

Building. xxx

Less Accumulated Depreciation <u>xxx xxx</u>

- Buildings

Total Property, Plants and . xxx

Equipment

Intangible Assets

Copyrights. . xxx

Total Intangible Assets. . <u>xxx</u>

Total Assets. . <u>xxx</u>

3 0

3 years ago

A two-step binomial tree is used to value an option on the Australian dollar (AUD). The strike price is 1.00 USD per AUD and the

ser-zykov [4K]

Answer:

a.) The proportional up movement , u, for the currency can be calculated using the following formula:

u = eStd Dev * Square root of t

u = e0.06*square root of 0.25

u = 1.0305

b.) Probability of up movement, p , = (a - d) / (u - d)

where a = ert where r = 0.025, t = 0.25

a = e0.025*0.25 = 1.0063

d = 1 / u = 1 / 1.3050 = 0.7663

p = (1.0063-0.7663) / (1.3050-0.7663)

p = 0.46

1-p = 1-0.46 = 0.54

c) Price of an American Call Option on the currency : we use binomial tree for that , as follows: The amounts below line indicate the option price and figures above line indicate the underlying asset price which is 0.55555

3 0

3 years ago