6.1.2 Exam

Alma is in the business of dairy farming. During the year, one of her barns was completely destroyed by fire. The adjusted basis

photoshop1234 [79]

Answer:

$18,750

Explanation:

Given:

Adjusted amount of loss = $90,000

Fair market value = $75,000

Insurance amount received = 95% of fair Market value

Adjusted gross income = $40,000

Computation of business loss:

Particular Amount

Adjusted amount of loss $90,000

Less: Insurance amount received $71,250

($75,000 × 95%)

Business loss $18,750

Therefore, the current year deduction is $18,750

6 0

3 years ago

Ahmed runs a bakery that sells two kinds of pies. Ahmed knows the bakery must make at least 6 and at most 48 batches of the Choc

Dafna11 [192]

Answer:

Ahmed must bake 48 Chocolate Decadence pies and 7 Mint Breezes pies in order to get the maximum possible profit = $131.91

Explanation:

let x = chocolate decadence

let y = mint breezes

maximize revenue equation = 2.56x + 1.29y

the constraints are:

7x + 8y ≤ 392

x ≥ 6

x ≤ 48

y ≥ 3

y ≤ 42

using solver, profits are maximized when 48x + 7y = $131.91

5 0

3 years ago

Accounts receivable represents:_________

coldgirl [10]

Answer:

A. Amounts which are owed to the company by its customers resulting from credit sales.

Explanation:

When the company sells its product to the customers on a credit basis is called account receivable. The amount which is to be sold on credit comes under the account receivable. It is a liquidity ratio which can be converted into cash within one year

This account receivable comes under the current assets side in the asset section of the balance sheet

7 0

4 years ago

Whenever Don calls on potential pest control customers, he emphasizes the fact that, unlike the national franchise competitors,

Amiraneli [1.4K]

Answer:

positioning

Explanation:

Based on the information provided within the question it can be said that in this scenario Don is positioning his business relative to his competition. In the context of business, positioning refers to the actions taken by a business in order to for the business/brand to occupy a specific place in the minds of their customers, as well as setting them apart from the competition, so that those customers choose them instead of the competition.

7 0

3 years ago

Bretts Construction Company had a contract starting April 2017, to construct a $6,000,000 building that is expected to be comple

ExtremeBDS [4]

Answer: $230,000

Explanation:

Gross profit to be earned from project:

= Construction price - cost of construction

= 6,000,000 - 5,500,000

= $500,000

Percentage of costs incurred in 2017:

= 2,530,000 / 5,500,000 * 100%

= 46%

The Gross profit for 2017 is therefore:

= Percentage of cost incurred * total gross profit

= 46% * 500,000

= $230,000

4 0

3 years ago