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3 years ago

Explain the differences between active and passive income. Which do you think is easier from an owner's standpoint, and why?

Business

1 answer:

stellarik [79]3 years ago

6 0

Answer:

Passive income is money earned on an investment, or work completed in the past that continues to make money without any additional effort. Active income, on the other hand, is money earned in exchange for performing a service. I would think active income is easier because it allows you to earn an income quickly and consistently. Passive income can take years to build.

Explanation:

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Pastina Company sells various types of pasta to grocery chains as private label brands. The company's fiscal year-end is Decembe

RUDIKE [14]

Answer:

1) The net income for the period ended December 31, 2018, is 68103.

2)The total liabilities and stockholders equity is 261615.

Explanation:

1) 1920 sales revenue is an unearned revenue since delivery will be made in 2019

Interest payable on note oct 1 :Interest = $71400\times.12\times3/12=2142$ [1 Oct - 31 Dec]

Interest receivable on march 1 :Interest= $29400\times.08\times10/12=1960$ [1 Mar -31 -Dec]

Supplies used = 1850 unadjusted -980 ending inventory = 870

Insurance expired for the period = $[6200\times1/2 ] =3100 per year \times 9/12 =2325$ [1april -31 dec ]

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3 years ago

In 2016, General Dynamics Corporation began selling a new line of products that carries a two-year warranty against defects. Bas

Shtirlitz [24]

Answer:

C) 38,000

Explanation:

The estimated warranty liability for 2017:

= [2016 sales x (first + second year warranty costs)] + [2017 sales x (first + second year warranty costs)] - (warranty expenses for 2016 and 2017)

= [$600,000 x (2% + 5%)] + [$800,000 x (2% + 5%)] - ($20,000 + $40,000)

= $42,000 + $56,000 - $60,000 = $38,000

4 0

4 years ago

Bermuda Triangle Corporation (BTC) currently has 520,000 shares of stock outstanding that sell for $85 per share. Assume no mark

Vedmedyk [2.9K]

Answer:

a. BTC has a five-for-three stock split.

new number of shares outstanding = (520,000 / 3) x 5 = 866,666.67 ≈ 866,667

new market price per stock = ($85 / 5) x 3 = $51

b. BTC has a 12 percent stock dividend.

new number of shares outstanding = 520,000 x 1.12 = 585,400

new market price per stock = $85 / 1.12 = $75.89

c. BTC has a 43.5 percent stock dividend.

new number of shares outstanding = 520,000 x 1.435 = 746,200

new market price per stock = $85 / 1.435 = $59.23

d. BTC has a four-for-seven reverse stock split.

new number of shares outstanding = (520,000 / 7) x 4 = 297,142.86 ≈ 297,413

new market price per stock = ($85 / 4) x 7 = $148.75

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3 years ago

Labor-augmenting (improving) technology causes which of the following? (i) The marginal productivity of labor increases. (ii) Th

OleMash [197]

Answer:

Answer to this is both option (i) and option (iii).

Explanation:

Change in technology generally affects the change in productivity as well as the change in labor demand. In the case of Labor-augmenting (improving) technology, it is found that the positive change in technology leads to the increasing marginal productivity of labor. This increase of marginal productivity of labor shifts the labor-demand curve towards right. Thus, Labor-augmenting (improving) technology causes marginal productivity of labor to increase which further leads to shifting of the labor-demand curve towards right.

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3 years ago

Contractionary monetary policy causes _____ in the price level in the short run and _____ in the price level in the long run. a

anzhelika [568]

The answers to the blank lines in the problem mentioned above are both "a decrease" such as to complete the sentence we have "Contractionary monetary policy causes A DECREASE in the price level in the short-run and A DECREASE in the price level in the long run"

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3 years ago