Answer:<u><em> The amount and character of Daniela's gain or loss from the distribution will be $0.</em></u>
Explanation:
Given : Daniela is a 25% partner in the JRD Partnership, liquidating distribution of $16,000 cash, inventory with a $16,000 fair value (inside basis $8,000), and accounts receivable with a fair value of $8,000.
<u><em>Here, Daniela will not recognize any gain or loss on the distribution. She will instead reduce the basis of the inventory she receives in complete liquidation of her interest.</em></u>
Answer:
a. 1 Pound/1.29 or 0.78 Pound/Mark
b. Overvalued
Explanation:
a. What should the pound-mark exchange rate be in 2012?
Ratio of Pacifica pound to Atlantica mark in 2012 = 360/280 = 1.29
Or,
Ratio of Atlantica mark to Pacifica pound in 2012 = 280/360 = 0.78
Therefore, according to the relative purchasing power parity (PPP) theory, one Pacifica pound should equal to 1.29 Atlantica mark, i.e. 1 Pound/1.29 Mark.
This can also be stated differently that 1 Atlantica mark should equal to 0.78 Pacifica pound, i.e. 0.78 Pound/Mark.
b. If the actual pound per mark exchange rate is 0.5 pound/mark in 2012, is the mark overvalued or undervalued relative to its PPP value
Since the PPP pound per mark exchange rate value estimated in a above is 0.78 Pound/ Mark is higher than the actual pound per mark exchange rate of 0.5 pound/mark in 2012, mark is therefore overvalued.
She needs 6.2 more pounds to reach 20.8, which is how much she needs for 16 pints of applesauce.
Answer:
C Protection against inflation
Explanation:
As we know that there are three functions of money i.e.
1. Unit of account
2. Store of value
3. Medium of exchange
There is only 3 functions of money that are shown above
So the protection against inflation would not be considered for the same
And, these 3 would represent the functions of money and can be treated as the unit of account, store of value and the medium of exchange
Hence, the option c is correct
