Answer:
the last part of the question is missing, so I looked for it:
a. Randy received $2,200 of interest this year and no other investment income or expenses. His AGI is $75,000.
b. Randy had no investment income this year, and his AGI is $75,000.
a) Randy can deduct $31,575:
- the mortgage interest is deductible
- the car loan interest is not deductible
- he can deduct $4,725 - $2,200 = $2,525 as investment interest expense
b) Randy can deduct $29,050
- the mortgage interest is deductible
- the car loan interest is not deductible
- since he had no investment revenue, he cannot deduct any investment interest expense
Answer: Allowance for the doubtful accounts with a credit balance of $29,600
Explanation:
From the information that is provided in the question, the following can be deduced and the year-end financial statements should show:
Allowance for the doubtful accounts with a credit balance will be calculated as: the beginning allowance for the doubtful accounts + (the sales × Provision % ) - accounts receivable that were written off.
= $3,500 + ($1,110,000 × 3%) - $7,200
= $3500 + $33300 - $7200
= $36800 - $7200
= $29,600
Answer:
a. Economic profit is the excess of revenue over both opportunity (implicit) and explicit costs. Explicit costs are the cost of all inputs used.
b. The difference between economic profit and accounting profit is that in calculating economic profit, both the explicit costs and the implicit or opportunity costs are deducted from the revenue. Whereas, in computing the accounting profit, only the explicit costs are deducted from the revenue.
c. Economists measure economic profit rather than accounting profit because economists believe that the real cost of an output includes the economic or opportunity cost (potential benefits lost as a result of the course of action chosen).
Explanation:
Opportunity cost is the implicit cost incurred, which is equal to the potential benefits lost by an individual or a business, when an alternative is chosen instead of the other alternative. It is an important concept in the computation of economic profit. The concept ensures that both implicit and explicit costs are considered when determining the profits generated by a business.
Answer: D.
Explanation:
Natural monopoly exists when very high start up capital is needed for conducting business in a particular industry. Natural monopoly also occurs when a particular firm covers a whole market at lower cost better than other firms even when they combine together.
The task that Kenneth may perform as a part of his job is: B . research stock price histories.
<h3>Who is a stock trader?</h3>
- A stock trader is a person who trades equities and securities with the intention of making profits from them. For a person to be successful in this job he has to keep abreast with the current prices of stock and equities.
- So, Kenneth needs to research price histories in his role as a stock trader. This will help him to advise clients on the most profitable.
Learn more about stock trading here:
brainly.com/question/25818989
