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motikmotik
3 years ago
8

Until recently, Rosemarie worked as an accountant, earning $30,000 annually. Then she inherited a piece of commercial real estat

e that had been renting for $12,000 annually. Rosemarie decided to leave her job and operate a Peruvian restaurant in the space she inherited. At the end of the first year, her books showed total revenues of $260,000 and total costs of $230,000 for food, utilities, cooks, and other supplies. Her economic profit at the end of one year is:
Business
1 answer:
s344n2d4d5 [400]3 years ago
6 0

Answer:

-$12,000

Explanation:

Given that

Annually earning = $30,000

Renting annually = $12,000

Total revenue = $260,000

Total cost = $230,000

The computation of economic profit is shown below:-

Economic profit = Total revenue - Total cost - Annually earning - Renting earning - Renting annually

= 260,000 - 230,000 - 30,000 - 12,000

= -$12,000

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irs guidelines require specific information to substantiate deductible automobile expenses. which 3 items are included in the su
mestny [16]

The three items that are included in the substantiation requirements are:

  • Date Placed in Service
  • The total mileage; and
  • Vehicle Type.

<h3>What is IRS guidelines?</h3>

Internal Revenue Service Guidelines are guidelines that individuals and corporates must follow in order to be compliant with the requirements of the IRS.

Thus, it is correct to indicate that according to the IRS Guidelines, the three items that are included in the substantiation requirements are:

  • Date Placed in Service
  • The total mileage; and
  • Vehicle Type.

Learn more about substantiation requirements at:
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#SPJ12

4 0
2 years ago
Pablo's demand for pizza is inelastic. If the price of pizza decrease​s, we can predict that Pablo will
kherson [118]

Answer:

C. eat more pizza and spend less on pizza than he did before the price decrease.

Explanation:

The inelastic means that when the elasticity is less than one

Since the demand for pizza is inelastic and the price of pizza decreases that would result in an increase in the quantity demanded of pizza.

Though the price of pizza decreases, the Pablo spend less than before as the price and the quantity demanded has an inverse relationship.

4 0
4 years ago
True or false? until recently, congress provided subsidies to tobacco growers and has been very reluctant to pass legislation op
Vera_Pavlovna [14]

That is "True".

For around seventy years, going back to the Great Depression, the legislature forced production constrains on individual tobacco cultivates yet ensured a artificially high cost for the harvest. The strategy kept up order in the tobacco developing business for a considerable length of time and kept numerous little agriculturists alive. At the point when Congress voted a ballot in late 2004 to take out the government's contribution in the business, it was seen as an approach to standardize the cost of tobacco and make U.S. tobacco cultivating more focused over the long haul.

5 0
3 years ago
American Inc. had gross sales of $925,000. Cost of goods sold and selling expenses were $490,00 and $220, 000 respectively Ameri
drek231 [11]

Answer:

a. Particulars                                Amount

Gross sales                                  $925,000

Less: COGS                                 <u>$490,000</u>

EBITDA                                        $435,000

Less: Depreciation                      <u>$120,000</u>

EBIT                                              $315,000

Less: Interest on notes payable <u>$8,800   </u>  (220000*4%)

EBT                                               $306,200

Less: Tax (35%*306200)             <u>$107,170</u>

Net Income                                   <u>$199,030</u>

<u />

b. Operating cash flow = Net income + Depreciation

Operating cash flow = $199,030 + $120,000

Operating cash flow = $319,030

6 0
3 years ago
Walter Utilities is a dividend-paying company and is expected to pay an annual dividend of $0.65 at the end of the year. Its div
Korolek [52]

Answer:

option 14.92%

Explanation:

Data provided in the question;

Expected annual dividend to be paid = $0.65

Expected growth rate = 9.50%

Walter’s stock currently trades = $12.00 per share

Now,

Expected rate of return = \frac{\textup{Expected dividend}}{\textup{Stock price}}\times100\% + Growth rate

or

Expected rate of return = \frac{\$0.65}{\$12.00}\times100\% + 9.50%

or

Expected rate of return = ( 0.054167 × 100% ) + 9.50%

or

Expected rate of return = 5.4167% + 9.50%

or

Expected rate of return = 14.9167 ≈ 14.92%

Hence, the correct answer is option 14.92%

4 0
4 years ago
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