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devlian [24]
3 years ago
9

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

Business
1 answer:
Lorico [155]3 years ago
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.

<h3>What is tax?</h3>

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:

brainly.com/question/9437038

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Which of the following is a tax incentive?
tigry1 [53]
<span>D.the use of taxation to encourage or discourage certain behaviors</span>
7 0
4 years ago
Read 2 more answers
Carlin Company has total assets of $1,000,000, liabilities of $400,000, and equity of $600,000. What is the debt ratio (rounded
bija089 [108]

Answer:

40%

Explanation:

Given that,

Carlin Company has;

Total assets = $1,000,000

Liabilities = $400,000

Equity = $600,000

Total debt = $400,000

Therefore,

Debt ratio = Total debt ÷ Total assets

                 = $400,000 ÷ $1,000,000

                 = 0.4 or 40 percent

Hence, the debt ratio of Carlin Company is 40 percent.

4 0
3 years ago
When a firm invests directly in a business or venture in another country, it is called ______.
pshichka [43]

When a firm invests directly in a business or venture in another country, it is called FDI.

A form of private equity financing known as venture capital (VC) is given by venture capital funds or organizations to startups, early-stage, and developing businesses that have been identified as having a high growth potential or that have already shown a high growth rate (in terms of number of employees, annual revenue, scale of operations, etc). These early-stage businesses are funded by venture capital firms or funds in exchange for equity, or ownership stakes.

In the hopes that some of the businesses they support will succeed, venture capitalists take on the risk of financing hazardous start-ups. Startups face a lot of uncertainty, and VC investments frequently fail.

Learn more about venture here:

brainly.com/question/28462236

#SPJ4

4 0
1 year ago
Buttner Company borrows $88,500 on September 1, 2014, from Harrington State Bank by signing an $88,500, 12%, one-year note.
oksian1 [2.3K]

Answer:

C.) $3,540

Explanation:

The loan borrowed is the Principal = $88,500

Interest rate per year = 12% or 0.012 as a decimal

Interest accrued formula = Principal * rate * time

Note: time will be from Sep1 - Dec 31 = 4 months or \frac{4}{12}years

Interest accrued = 88,500 * 0.012 * \frac{4}{12}

Interest accrued = 3,540

Therefore, as of December 31st, 2014, $3,540 would be the interest accrued hence choice C is correct.

4 0
3 years ago
Worthy Ships initially issued 400,000 shares of $1 par stock for $2,000,000 in 2021. In 2023, the company repurchased 40,000 sha
liq [111]

Answer:

Worthy Ships:

Treasury Stock account balance would be $80,000.

Explanation:

Treasury Stock account is a contra account to the Common Stock account.  Using the cost method, the account will have a debit entry and balance of $400,000 in 2023.  In 2024, with the resale of shares, the account will have a credit entry of $320,000.  This would bring the balance to $80,000 at the end of 2024.

8 0
3 years ago
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