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3 years ago

In addition, to funding government programs, a Progressive tax system is intended to

Business

1 answer:

tresset_1 [31]3 years ago

8 0

Answer:

see below

Explanation:

A progressive tax system exacts a higher tax rate on higher-income earners. It is based on the ability to pay principle. It results in wealthier people paying more than the less wealthy.

Apart from collecting higher income for the government, the other benefits for the tax system include;

1. Progressive taxes tend to be equitable because rich individuals pay more taxes than poor people. It is fair in the sense that the rich can pay more as compared to the poor.

2. Progressive taxes tend to reduce inequalities in the distribution of income and wealth.

3. It is less costly to administer the progressive tax system.

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You work as a public affairs director for a small company that is traded on a public stock exchange. On Friday, your boss calls

Stella [2.4K]

Answer:

The answer is: Not guilty of insider trading

Explanation:

If we follow the case: United States v. Newman, 773 F.3d 438 (2d Cir. 2014), we can argue that insider trading only happens when the person who releases the non public information did it for improper purposes. This means that the alleged insider released information knowing that it would be used for illegal purposes.

In this case, if you were not aware that the information your colleague got from your notes was going to be used illegally, then you are not liable for his illegal actions.

6 0

3 years ago

Lakeview Company completed the following two transactions. The annual accounting period ends December 31.

Ann [662]

Answer: Check attachment and explanation.

Explanation:

a. The question has been solved. Check the attachment.

b. LAKEVIEW COMPANY

Balance sheet (Partial)

December 31

Current liabilities

FICA Payable=$4800 + $4800= $9600

Charitable contribution payable = $2400

Withheld income tax payable = $6400

State and Federal unemployment tax payable = $560

Unearned rent revenue = $5700 - $3800 = $1900

Total current liabilities = $20860

6 0

3 years ago

A company has total fixed costs of $220000 and a contribution margin ratio of 20%. The total sales necessary to break even are

Nady [450]

Answer:

The total.sales necessary are $50,000

Explanation:

6 0

3 years ago

Mars Inc. produces 100,000 boxes of Snickers bars which sell for $4 a box. If variable costs are $3 per box, and it has $150,000

IceJOKER [234]

Answer:

It should continue the production in the short-run.

Explanation:

Given the unit produced by Mars Inc. = 100000 boxes.

The selling price of boxes = $4 per box.

The variable costs = $3 per box.

The fixed costs = $150000

The total sales revenue = number of boxes × selling price

= 100000 × 4

= $ 400000

In the short run, the firm should continue its production because it still covers the variable costs.

8 0

3 years ago

You are considering an investment into company xyz and need to determine the company's value and the appropriate investment amou

ZanzabumX [31]

Option A is correct. The gross earnings that has been calculated for this 12 months is given as 17545.

The required details for gross earnings in given paragraph

How to resolve for the gross earnings

22050 × 97.5%(100-2.5%) = 21498.75

= 21498.75 × 0.975 = 20961.28

= 20961.28 x 0.975 = 20437.24

= 20437.24 x 0.975 = 19926.31

= 19926.31 × 0.975 = 19428.15

= 19428.15 x 0.975 = 18942.forty five

= 18942.forty five x 0.975 = 18468.80

= 18468.89 × 0.975 = 18017

= 18007 × 0.975 = $17545

Hence we are able to see on the give up of the answer that the price of the gross earnings in 2028 = $17545. Gross earnings is the earnings a business enterprise makes after deducting the charges related to making and promoting its products, or the charges related to offering its services. Gross earnings will seem on a business enterprise's earnings assertion and may be calculated with the aid of using subtracting the fee of products sold (COGS) from revenue (income).

These figures may be determined on a business enterprise's earnings assertion. Gross earnings will also be called income earnings or gross earnings.

To know about Gross earnings click here

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Complete question

You are considering an investment into Company XYZ and need to determine the company's value and the appropriate investment amount. You have been provided with historical financial statements for the past three years in order to build a forecast model. Key assumptions to use include:

Future sales revenue is assumed to increase at 2.5% annually.

Gross margin for 2021E is assumed to be equal to the average gross margin % for 2019 and 2020, but will decrease by 2.5% (i.e. 250 bps) each year thereafter

SG&A expense is assumed to be a percentage of revenue for the forecast period. That percentage is equal to the 2018-2020 average

Depreciation expense is assumed to be a percentage of revenue for the forecast period. That percentage is equal to the 2018-2020 average

The tax rate for the forecast period is assumed to be equal to the effective tax rate for 2018

Capital expenditures for any given year in the forecast period is assumed to be 3x the prior year's depreciation expense. For example, 2021 capital expenditures is equal to 3x 2020 depreciation expense.

No new debt or equity is assumed to be issued

Download CFI_-_FMVA_Practice_Exam_Case_Study_A.xlsx and answer the following 12 questions.

1 What is Gross Profit in 2028E using the assumptions listed above and on the Control Panel?

$17,545

$30,704

$27,780

$40,938

8 0

1 year ago