Answer:
AAA = (8000)
STOCK BALANCE = 0
AEP = 2000
Explanation:
-----------------AAA-------- stock basis---------AEP
Beg. Bal--- 2000 - - - - 10,000 - - - - - - 6,000
Distribution (2000) - - - - (2000) - - - - - (4000)
Balance - - - 0 - - - - - - - 8000 - - - - - - 2000
LTCG - - - 2000 - - - - - 2000 - - - - - - - - 0
Balance - -2000 - - - - - 10,000 - - - - - - 2,000
Loss - - - (10000) - - - - (10000) - - - - - - - 0
Ending - - (8000) - - - - - 0 - - - - - - - - - 2000
ENDING BALANCE :
AAA = (8000)
STOCK BASIS = 0
AEP = 2000
Beg. bal = beginning balance
LTCG = Long term capital gain
Answer:
$40
Explanation:
If the beneficiary appoints to use the items with different date to measure the estate of the deceased, the share price shall be the price at the time six months after passing, if the property has been previously sold. In this scenario, the FMV on the original sale, $40.
Answer:
Refer explanation
Explanation:
A. Average total cost (ATC) is the total cost divided by the number of units sold. It is unlikely to increase. This is especially because as more output is produced, fixed costs are spread over a larger number of units. Thus, the fixed cost per unit falls. The firm is also likely to exploit economies of scale (falling average costs due to rise in output). Thus, this is a decreasing cost industry.
B. The firm should charge $4 since the marginal cost i.e. the cost of producing an additional unit of output is $4. At this price, the firm would make a loss of $30 million since the price is enough only to cover the variable costs. It would not be able to cover the fixed costs of $30 million. The difficulty to make profits and the loss made would discourage the firm, causing it to exit the industry.
C. Profit = Total Revenue - Total Costs.
At price $5, total revenue = $5 x 30 million = $150 million. Total costs includes both variable and fixed costs. Fixed cost as provided is $30 million. Variable costs = $4 x 30 million = $120 million. Hence, total costs would be = $30 million + $120 million = $150 million. Profit/loss = $0 (150 million - 150 million). The firm is at the break-even point where TR is equal to TC and makes neither a profit nor a loss.
D. At 40 million bags demanded for $5, the total revenue would be = $5 x 40 million = $200 million. The total fixed cost would remain the same as provided in the question ($30 million). Total variable costs would now be $40 million x $4 = $160 million. Thus, the total costs are $160 million + $30 million = $190 million. Profit = $200 million (Total Revenue) - $190 million (Total Costs) = $10 million
E. The fair rate of return is the point where the economic profit is zero ($0). In order to identify the price, the costs are important. The firm’s fixed costs would remain as 30 million. The variable costs would be 40 million x $4 which is $160 million. The total cost would thus be $160 million + $30 million = $190 million.
It is important to then identity the total revenue. TR is equal to P x 40 million. This can then be substituted in the profit equation in order to obtain the price.
Profit = TR - TC
0 = 40P - $190 million
$190 million = 40P
P = $190 / 40
P = $4.75
Answer:
Role Example
Explanation:
Three types of economic<em> roles</em> are <em>consumers, producers, and workers.</em>
The role of the <em>consumer</em> is to buy the goods and services. The sum of the consumptions of a good or a services constitute the demand of the product. Thus, the consumer purchases and use the products, which is a car owner does.
The role of the <em>producer </em>is to produce the good and services. The sum of the quantities produced of a good or service by the different producer of a same product constitute the supply of the product. Thus, the producer posseses the assets to make the products available, which is what a factory owner represents.
The <em>worker</em> puts the labor. The workers are an essential part of an economy too, such as the consumers and the producers, because they make the goods or service by their own work. The auto mechanic, who works fixing cars, is an example of a person playing the role of worker.
Answer:
According to the value chain business model, what are the various strategic decisions that a business can make?
According to the value chain business model,(blank) a. Horizontal b. Forward c. Vertical
integration involves a business taking over a competitor that operates at the
same stage in the value chain.
(Blank) a. Horizontal b. Backward c. Forward Integration refers to a business's expansion in previous stages of a value chain.
Explanation: