1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Simora [160]
3 years ago
11

Jay, a single taxpayer, purchased an annulty to help provide income during his retirement. He paid $36,000 for the annuity that

provided a monthly benefit starting at his retirement date for the rest of Jay's life. His life expectancy at the time of his retirement was 180 months. Jay collected 192 payments before he died.
Which of the following is true?
a. Since Jay is no longer working, none of the payments must be included in his gross income.
b. The first $36,000 received is a nontaxable recovery of capital, and all subsequent annuity payments are taxable.
c. If Jay's income is below $25,000, none of the payments he receives are taxable.
d. All of the last 12 payments he received are taxable.
Business
1 answer:
Rufina [12.5K]3 years ago
4 0

Answer:

d. All of the last 12 payments he received are taxable.

Explanation:

In the case when the life expectancy is 180 months and collected 192 payments prior he died

So according to the question, all the 12 payments would be received are taxable

Here the payment that received for 180 months would not be involved in the gross income and the remaining 12 payment would be taxable

Therefore the option d is correct

You might be interested in
When you begin your first full-time job, you have a monthly income of $3,500. Your federal and state taxes are $1,000. You pay $
elixir [45]

Answer:

c. discretionary income.

Explanation:

There are various incomes which are explained below:-  

a. Net Income: The income which is calculated after considering all expenses is called gross income.

b. Disposable income: The income which is computed after deducting the tax expenses is known as disposable income. It is not meant for basic necessities that means it considered only tax expenses.

c. Discretionary income: The income which is computed after considering the income, government taxes, other business expenses and day to day expenses is called discretionary income.

d. Gross income: The income which is calculated before considering all expenses is called gross income.

e. Earned income after taxes: The income which is earned after deducting the tax expenses is called earned income after taxes.

In the given situation, the most appropriate option is C.

4 0
3 years ago
Bessie is at the grocery store and is trying to remember some of the things she needs to buy. She is in the cleaning products ai
Anna007 [38]

Answer: Actual state

Explanation: In simple words, The actual state refers to the way in which a rational consumer actually satisfies his or her needs and wants.

In the given case, Bessie is sure that she has the same product left at home however she does not have any proof. Bessie decides to not purchase the good she already has one, thus, despite of not having a proof she decides to satisfy her wants by not purchasing the bottle.

Hence the correct option is C .

7 0
3 years ago
Tamara is a Managerial Accountant at Everything New. Everything New manufactures furniture. Tamara purchased leather to be used
Murrr4er [49]

Answer:

B. Raw Materials

Explanation:

Raw materials are the basic components of manufacturing and production process in a goods manufacturing entity.  Raw Materials  are used in the production of a finished products (such as Crude Oil is a raw material for Petrol, Milk is a raw material for Yogurt, Yarn is a raw material for Garment whereas  Petrol, Yogurt and Garment are the finished products).

Keeping in view the above discussion, the leather purchased by the Tamara, to be used on some of the furniture to be manufactured by the Everything New, shall be classified as Raw Materials.

Answer is B. Raw Materials

4 0
3 years ago
Admire County Bank agrees to lend Givens Brick Company $300,000 on January 1. Givens Brick Company signs a $300,000, 8%, 9-month
Harlamova29_29 [7]

Answer:

The correct option is C.

Cash A/c Dr       $300,000

   To Notes Payable      $300,000

(Being notes payable issued)

Explanation:

As brick company has sign a $300,000 note which consist 7% interest rate and the duration of note is 9 month on January 1

The question has asked the journal entry on January 1 date.

So, the journal entry is

Cash A/c Dr       $300,000

   To Notes Payable      $300,000

(Being notes payable issued)

The interest part should be ignored because in the question they asked the journal entry of January 1 not in the end of the month. According to the date of asking the journal entry, the amount is to be calculated. Thus, interest should not be considered.

Hence, the correct option is C.

Cash A/c Dr       $300,000

   To Notes Payable      $300,000

(Being notes payable issued)

5 0
3 years ago
A risk of marketing myopia is that sellers pay more attention to
vitfil [10]

The correct answer is:   [D]:

________________________________________________

        " their products than to customer needs. "

________________________________________________

Hope this helps!

        Best wishes!

________________________________________________

5 0
3 years ago
Other questions:
  • What form does an employer need to send to you by the end of january so that you can file your taxes?
    6·2 answers
  • Fishing designs has arranged to borrow $13,000 today at 10% interest. the loan is to be repaid with end-of-year payments of $3,0
    9·1 answer
  • Any marketing method that directly links manufacturers or intermediaries with the ultimate consumer could be classified as:
    12·1 answer
  • What is the principle of comparative cost advantage​
    12·1 answer
  • In order have legal standing, ____.
    11·1 answer
  • Marta is interviewing candidates for a position in the Human Resources department at her company. She is deciding who to intervi
    14·2 answers
  • Mossfeet Shoe Corporation is a single product firm. The company is predicting that a price increase next year will not cause uni
    7·1 answer
  • Suppose that the demand for loanable funds for car loans in the milwaukee area is $10 million per month at an interest rate of 1
    14·1 answer
  • Why you guys deleting my stuff p u s s y . Its about math . So again yall know where i can get some fire gas for the low ?
    8·1 answer
  • i made a bet with my friend that he couldnt swallow an egg full, hes laying on the ground now what do i do
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!