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faust18 [17]
3 years ago
11

Don operates a taxi business, and this year one of his taxis was damaged in a traffic accident. The taxi was originally purchase

d for $15,500 and the adjusted basis was $1,050 at the time of the accident. The taxi was repaired at a cost of $2,975 and insurance reimbursed Don $757 of this cost. What is the amount of Don's casualty loss deduction
Business
1 answer:
Leno4ka [110]3 years ago
4 0

Answer:

$293

Explanation:

Calculation for the amount of Don's casualty loss deduction

Using this formula

Casualty loss deduction amount=Adjusted basis -Insurance reimbursed

Let plug in the formula

Casualty loss deduction amount=$1,050- $757

Casualty loss deduction amount=$293

Therefore the amount of Don's casualty loss deduction will be $293

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You are given the following information for a country: Participation rate is 75%, the unemployment rate is 10%, the employment r
mariarad [96]

Answer:

O The size of the labor force is 40 million

Explanation:

Given:

Participation rate is 75%

Unemployment rate is 10%

Employment rate is 67.5%

The number of employed is 27 million.

As the employment rate is 67.5% of the size of the labor force which means that  27 million people are employed, we can say that number of people are employed equals to 67.5 percent of the total size of the labor force and we can write it numerically as:

27 = size of the labor force \times 67.5%

27 =  size of the labor force\times\frac{67.5}{100}

27 = size of the labor force \times0.675

Dividing both side by 0.675

Size of the labor force = 40 million

Therefore, (O The size of the labor force is 40 million) option is correct.

4 0
3 years ago
ABC Hardware store is open for business 350 days a year. Annual demand for a power cutter at this store is 700 units. Replenishm
BlackZzzverrR [31]

Answer:

102.47 and 20

Explanation:

What is economic order quantity?

EOQ or the economic order quantity is the level of inventory which is the most optimal level for reducing inventory costs. It assumes that the supplier will supply as and when required and follows a just in time policy.

Now that we are familiar with the concept, let's recall the formula:

EOQ= SQRT( 2* D *k /h)

D - Annual demand, which is 700

k - Replenishment cost, which is $15

h - holding cost, which is 10% of inventory value = 0.1 × $20 = $2

So, EOQ = SQRT(2 * 700 * 15/2) = 102.47 units

Reorder point  = daily demand * lead time + safety stock = 700/365*5+10=20 Units

7 0
3 years ago
A corporation can earn 7.5% if it invests in municipal bonds. The corporation can also earn 8.40% (before-tax) by investing in p
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Answer:

A tax rate of 10.71% should make both both indifferent for investors.

Explanation:

the municipal bonds are income-tax free so we should solve for the tax rate which makes both bonds equaly attractive.

0.075 = after-tax rate

0.084 = pre-tax rate

pre-tax (1- t) = after-tax\\0.084 (1-t) = 0.075\\1 - t = 0.075 \div 0.084\\t = 1 - 0.075 \div 0.084\\t = 0.10714285

A tax rate of 10.71% should make both both indifferent for investors.

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3 years ago
Avon was known as the company that sold cosmetics door-to-door for a long time. In order to grow and reach new markets it began
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Suppose that Manuel, an economist from a university in Arizona, and Poornima, an economist from a nonprofit organization on the
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