Answer:
See the excel spreadsheet attached.
Anticipated profit/(loss) is ($20,000).
Explanation:
The net profit/(loss) is the difference between the total sales and total cost. The total sales is computed as the product of the sale of each book and the number of books sold. The total cost is the sum of the variable and fixed costs.
The total variable cost is the product of the variable cost per book and the total number of books sold.
Alternatively, sales less variable cost gives contribution margin. Contribution margin less fixed cost gives the net profit. As shown in the spreadsheet attached.
Answer:
C. Nicholas is not required to recognize gross income, but must reduce his cost basis in the land to $130,000
Explanation:
Credit unions are not-for-profit financial cooperatives. Whose earnings are paid back to members in the form of higher saving rates and lower loan rates.Banks are for profit businesses with earning paid to stockholders only.
