Answer:
d.For each $2,500 payment received in the first year, Todd must include $1,000 in gross income
Explanation:
The computation is shown below:
As we know that
Exclusion Ratio is
= Cost ÷ Benefit
= $150,000 ÷ ($2,500 × 100)
= 0.6
Now
= 0.6 × $2,500
= $1,500 Excludible
So, the involved amount is
= $2,500 - $1,500
= $1,000 Includible
Hence, the correct option is d. and the same is to be considered
The other options are wrong
Complete Question:
Which one of the following is not empirically correct?
A. Debt levels across industries vary widely
B. Debt ratios in most countries are considerably less than 100 percent.
C. Some firms use no debt.
D. Capital structures are fairly constant across industries.
E. Most corporations have relatively low debt-asset ratios.
Answer:
The not empirically correct statement is:
D. Capital structures are fairly constant across industries.
Explanation:
Instead, the capital structures across industries vary significantly. Firms with large asset investments tend to have more leverage than others with less asset investments. And this situation of having or not having large investments in assets cuts across firms in the same industry. This suggests that their capital structures will always vary not because of the industry but the choices made by the firm's management. Capital structures are also influenced by taxes and operating income uncertainties, which also vary within the same industry.
Answer:
$18.80
Explanation:
New selling price = Old selling price - Adjustments
Old selling price = $19.00, Adjustments = 1 quarter of reduced raw material costs difference
New selling price = $19.00 - ($8.13 - $7.33)/4
New selling price = $19.00 - $0.20
New selling price = $18.80
So, the new selling price to break even next round is $18.80.
Answer:
B. $35,612
Explanation:
The net income which shall be earned by the Holly Farms shall be determined through following mentioned formula:
Sales $581,600
Costs ($479,700)
Depreciation expense ($32,100)
Interest expense ($8,400)
Income before tax $61,400
[email protected]% ($25,788)
Net income for year $35,612
So based on the above discussion, the answer is B. $35,612
<span>The first step would require that you organize entries by department. If these items are in a worksheet, the worksheet software should have a "sort by" feature that allows you to organized by the department column. Then you can add up salaries by department to get their subtotals.</span>