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3 years ago

For federal tax purposes, which of the following is true regarding lump-sum life insurance benefits?

1 answer:

7 0

Based on the information given, it should be noted that all proceeds are income tax free in the year that they're received.

A tax simply means a compulsory levy that's paid by the people or companies to the government. It's important to achieve economic development.

For federal tax purposes regarding lump-sum life insurance benefits, it should be noted that all proceeds are income tax free in the year that they're received.

Learn more about tax on:

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Wells Fargo & Company, headquartered in San Francisco, is one of the nation’s largest financial institutions. Suppose it rep

andreev551 [17]

Answer:

EQUITY AND LIABILITIES

EQUITY

Retained earnings $ 41,563

Preferred stock $ 8,485

Common stock - Issued $ 8,743

Treasury stock $ 2,450

Share Premium $ 52,878

Total Equity $114,119

Explanation:

The the stockholders’ equity section of the balance sheet shows the amount of capital invested by the shareholders in the business as well as the reserves that have been allocated to them.

8 0

3 years ago

Bear Tracks, Inc., has current assets of $2,280, net fixed assets of $10,400, current liabilities of $1,405, and long-term debt

Vera_Pavlovna [14]

Answer: $7185

Explanation: Shareholders equity refers to the amount of funds that are collected by the company by selling their ownership rights in the market to the general investors.

As per the subject matter of accounts, every asset that is owned by an organisation is either financed by the available funds or some liability is taken to buy it. This could be illustrated as follows :-

assets = shareholders equity + liabilities

Putting the values into equation we get :-

$2280 + $ 10,400 = $1,405 + $4090 + shareholders equity

therefore :-

shareholders equity = $7185

6 0

3 years ago

Scott Bestor is an accountant for Westfield Company. Early this year, Scott made a highly favorable projection of sales and prof

Yuki888 [10]

Answer a

The stakeholder in this situation arer as follows =>

1. Scott

2. Managemnet of a Company

3. The Financial Community.

Answer b

Ethical Issues are ;

Loyalty of Scott towards Company and its management.

He should excercise due vigilence while making projections for sales.

Answer c

Possible Actions are

1. Ignore the matter

2. Inform then Boss or Management.

3. Inform the boss and follow the standard procedure

I would have told the management of the error I made if I were in his place, showing my integrity and loyalty to the company without realizing that my integrity might jeopardize my promotion. But being ethical and trustworthy will also benefit me in the long run.

3 0

3 years ago

Read 2 more answers

When Patrick was talking with his customer about the new accounting system, his customer mentioned that she thought the new syst

cupoosta [38]

Answer:

The question lacks answers:

a. overcoming reservations

b. generating and qualifying leads

c. the presentation

d. the preapproach

e. follow-up

The answer is: a. overcoming reservations

The answer can be formulated as - handling objections

Explanation:

The sales presentation process usually follows the sequence:

generating and qualifying leads -> the preapproach -> the presentation -> overcoming reservations -> closing -> follow-up

The part of overcoming reservations is one of the most critical parts of the sales process, as it includes the addressing of the potential concerns a lead may have. This is the part when most salespeople end the whole process, as they are mostly not prepared to argument their sales pitch.

In this example, Patrick is confident and persistent in his efforts to emphasize the benefits of the system, even though the client expressed some concern about it. Patrick successfully overcame the client's reservations by explaining the benefits further.

6 0

3 years ago

A job can be done with Machine A that costs $12,500 and has annual end-of-year maintenance costs of $5000; its salvage value aft

sdas [7]

Answer and Explanation :

As per the data given in the question,

Present value = Amount ÷ (1 + r)^n

Machine A

Year Amount Discount Factor PV

1 $5,000 1.05 $4,761.90

2 $5,000 $4,535.15

3 $5,000 $4,319.19

Total $13,616.24

Now

Present value of salvage value =$2,000 ÷ 1.05^3 = $1,727.68

Present worth of Machine A is

= -$12,500 - $13,616.24 + $1,727.68

= -$24,388.56

Similarly Present worth of Machine B = -$15,000 - $4,000 ÷ 1.05 -$4,000 ÷ (1.05)^2 - $4,000 ÷ 1.05^3 - $4,000 ÷ 1.05^4 + $1,500 ÷ 1.05^4

=-$24,658.94

Based on the comparison between Machine A and Machine B

Machine A is better because it has higher present worth

Annual worth:

For machine A = -$12,500(A/PA,5%,3) -$5,000+$2,000(A/F,5%,3)

=-$12,500 × 0.367 - $5,000 + $2,000 × 0.317

= -$8,953.5

For Machine B:

= -$15,000(A/P,5%,4) - $4,000 + $1,500(A/F,5%,4)

= -$7,882.16

Based on the comparison between Machine A and Machine B

Machine B is better because it has higher annual worth

Capitalized cost:

Machine A :

= -$12,500+$2,000(P/F,5%,3) - $5,000 ÷ 0.05

= -$12,500 + $2,000 × 0.86 - $5,000 ÷ 0.05

= -$110,772

Machine B :

=-$15,000(P/F,5%,4) - $4000 ÷ 0.05

=-$15,000 × 0.82 - $4,000 ÷ 0.05

= -$93,765.9

Based on the comparison between Machine A and Machine B

Machine B is better because it has lower capitalized cost

3 0

3 years ago