Democratic Leadership or perhaps Meritocracy
Answer:
1. Adjustments of or changes in price are not smooth or synchronized.
2. Inflation rarely have impact on the prices of inputs.
3. The concentration of sellers is more on nominal prices of goods than real prices.
Explanation:
Inflation can be described as a sustained increase in the general price level of commodities within a country over a period of time.
The following are the reasons inflation in the real world result in shortages and surpluses:
1. Adjustmensts of or changes in price are not smooth or synchronized.
2. Inflation rarely have impact on the prices of inputs.
3. The concentration of sellers is more on nominal prices of goods than real prices.
Answer:option (e)
None of the above
Explanation:
The mid quarter convention applies to this MACRS calculation.
§ 179 expense $500,000
Additional first-year depreciation= [($650,000 - $500,000) × 0.50]
$75,000 MACRS cost recovery ($75,000 × 0.05) 3,750
Total = $78,750
Income from the business before the cost is recovered is $600,000 less. Therefore, the Total cost recovered;
Total cost recovery= (78,750)
§ 179 business income limitation $521,250
Therefore, Augie's total cost recovery deduction;
= $500,000 + $78,750
= $578,750.
B.............................
Answer:
A. If the loan is not reclassified as equity, Swan can deduct interest expense annually of $18,000, and Tonya includes in gross income annually interest income of $18,000.
Explanation:
Loans received under $385 should not be reclassified as equity.
Interest expense is determined by multiplication of the money Tonya loans Swan multiplied by the interest rate.
Therefore,
Interest expenses = 600000 x 3%
= $18000
