The tables show the annual incomes for the citizens in two countries, Melka and Sorare. Use this information to answer the questions. The Nation of Sorare Citizen Income Teddy $2,000 Kermit $50,000 Franklin $63,500 Anna $1,500 Eleanor $2,000 Edith $1,000 The Nation of Melka Citizen Income Etta $20,000 Duke $21,000 Louis $20,000 Billie $20,300 Cole $19,000 Zora $19,700 Based on the information here, which nation would you expect to have the higher Gini coefficient

Answers

Answer 1

Answer: The nation of Sorare

Explanation:

The Gini coefficient is a statistical measure that is used to measure income disparity/ inequality in a country.

The closer to zero the Gini coefficient is, the more equitable the income in a country is. Simply put, if more people in a nation have similar levels of income, the Gini coefficient will be smaller.

In the question, the nation of Sorare has two people earning a high amount of money while others make considerably less. This shows a high income disparity which means that the Gini coefficient here will be higher than in Melka where citizens mostly have similar incomes.


Related Questions

Your healthy 63-year-old neighbor is about to retire and comes to you for advice. From talking with her, you find out she was planning on taking all the money out of her company’s retirement plan and investing it in bond mutual funds and money market funds. What advice should you give her? Reilly, Frank K.; Brown, Keith C.. Investment Analysis and Portfolio Management (Text Only) (p. 56). Cengage Textbook. Kindle Edition.

Answers

Answer:

Both mutual funds and money market funds are similar in the sense that they pool money from several investors in a variety of instruments. The difference is that money market funds pool the money in very liquid, short-term securities, while mutual funds do the same but in less liquid, longer-term securities.

The 63-year-old neighbor should therefore split the money around 60/40, 60% of the funds for mutual funds, in order to have long-term security, and 40% in the money market funds, in order to have quick cash available when needed.

Your neighbor never mows his lawn. You don’t have any legal right to force him to mow, but the mess in his front yard is making your neighborhood unsightly and reducing the value of your house. The reduction in the value of your house is $5,000, and the value of his time to mow the lawn once a week is $1,000. Suppose you offer him a deal in which you pay him $3,000 to mow. How does this deal affect surplus?

Answers

Answer: The deal will have the effect of increasing both your surplus as well as your neighbor's

Explanation:

Assuming your neighbor accepts the deal, you would have paid $3,000 when in fact your house value had reduced by $5,000. This give you a surplus of $2,000 because you paid $2,000 less than the cost to you if your neighbor did not mow the lawn.

Your neighbor also makes a surplus because where normally it would cost them $1,000 to mow the lawn, they got $3,000. They also make a surplus of $2,000 over the cost to mow.

A Corporation produces shiny discs. A special order has been placed by the customer to Rick for 2,200 units of the shiny disc for $38 a unit. While the disc would be modified slightly for the special order, the normal unit product cost for each disc is $16.90:
Direct materials $ 4.60
Direct labor 4.00
Variable manufacturing overhead 1.70
Fixed manufacturing overhead 6.60
Unit product cost $ 16.90
Assume that direct labor is a variable cost. The special order would have no effect on the company's total fixed manufacturing overhead costs.
The customer would like modifications made to each disc that would increase the variable costs by $1.90 per unit and that would require an investment of $16,000 in special equipment that would have no salvage value.
This special order would have no effect on Rick Corp.'s other sales. The company has enough spare capacity for producing the special order.
What would be the annual financial advantage (disadvantage) for Rick as a result of accepting this special order?
a) $40,760
b) $15,700
c) $2,000
d) $16,200

Answers

Answer:

Rick Corporation

The annual financial advantage (disadvantage) for Rick as a result of accepting this special order is:

a) $40,760

Explanation:

a) Data and Calculations:

Special order for 2,200 units of shiny disc at $38 a unit

                              Normal product cost:               Special order:

Direct materials                           $ 4.60                        $ 4.60

Direct labor                                     4.00                           4.00

Variable manufacturing overhead 1.70                            1.70

Additional variable cost                                                   1.90

Total variable costs                    $10.30                     $12.20

Fixed manufacturing overhead    6.60                          0

Investment in special equipment ($16,000/2,200)     7.273

Unit product cost                      $ 16.90                    $19.473

Annual Financial Advantage (Disadvantage) for the special order:

Sales Revenue ($38 * 2,200) = $83,600

Variable costs ($12.20 * 2,200)  26,840

Contribution ($25.80 * 2,200) $56,760

Special equipment                       16,000

Financial Advantage                 $40,760

A project with a zero net present value indicates that it is acceptable. unacceptable. going to have an acceptable cash payback period. profitable.

Answers

Answer:

acceptable.

Explanation:

Project management can be defined as the process of designing, planning, developing, leading and execution of a project plan or activities using a set of skills, tools, knowledge, techniques and experience to achieve the set goals and objectives of creating a unique product or service.

Generally, projects are considered to be temporary because they usually have a start-time and an end-time to complete, execute or implement the project plan.

The net present value (NPV) of a project can be defined as the difference between present value of cash-inflow into a project and that of cash-outflow over a specific period of time. Thus, it is simply the value of all cash-flows for a project with respect to its life span.

A project with a zero net present value indicates that it is acceptable.

This ultimately implies that, investors and project managers are advised to only invest in projects that are having a positive net present value that is greater than or equal to zero.

Mary saw a bangle bracelet at an accessories shop that she liked and told her friend Susan that the most she would pay for it was ​$38.00. When she found out the price was ​$33.50​, she immediately bought it and gained ​$
nothing in consumer surplus. ​(Enter your response rounded to two decimal places​)
If Mary was to buy another bangle​ bracelet, her additional consumer surplus would

.

Answers

Answer:

$4.50 and =$9.00

Explanation:

Consumer surplus is the difference between what a consumer is willing to pay for a good or service and its market price.

i.e., Consumer surplus =  maximum willing price - actual price

Mary is willing to pay ​$38.00, and the market price is $33.50​ .

The consumer surplus = $38 - $33.50

=$4.50

If Mary buys a second bracelet, total consumer surplus would be

=$4.50 x 2

=$9.00

If a proposed expenditure of $80,000 for a fixed asset with a 4-year life has an annual expected net cash flow and net income of $32,000 and $12,000, respectively, the cash payback period is 2.5 years.
a. true
b. false

Answers

Answer: a. true

Explanation:

Cash payback period shows the amount of time it will take for cash inflows from an investment to pay off the investment.

Cash payback period = Investment/ Cash inflow

= 80,000/32,000

= 2.5 years

Statement is proven true.

LaMount works for a company in downtown Chicago. The company encourages employees to use public transportation (to save the environment) by providing them with transit passes at a cost of $275 per month.
a. If LaMont receives one pass (worth $275) each month, how much of this benefit must he include in his gross income each year?
b. If the company provides each employee with $275 per month in parking benefits, how much of the parking benefit must LaMont include in his gross income each year?

Answers

Answer:

a. $60 per year

b. $60 per year

Explanation:

The IRS decide the limit for Employee Fringe Benefit every year. As per the Latest Statutory limit, we can generally exclude the value of Transportation benefits during 2020 from the Employee's wages up to $270 per month for combined commuter highway vehicle transportation and transit passes. In this case, since no year was mentioned in the question, it has been assumed as 2020.

a. The amount of transit pass benefit to be included in gross income each year is as follows:

Benefit included  in gross income  = Worth of pass - Slab rate

Benefit included  in gross income  = $275 - $270

Benefit included  in gross income  = $5 * 12 month

Benefit included  in gross income  = $60 per year

b. The amount of parking benefit that LaMont must include in his gross income each year is as follows

Parking benefit included in gross income = Parking benefit provided by the company - Slab rate

Parking benefit included in gross income = Worth of pass - Slab rate

Parking benefit included  in gross income  = $275 - $270

Parking benefit included  in gross income  = $5 * 12 month

Parking benefit included  in gross income  = $60 per year.

Divac’s preferred stock is $100 par, 8% stock. If the stock is liquidated or redeemed, stockholders are entitled to $120 per share. There are no dividends in arrears on the stock. The common stock has a par value of $10 per share. Assume that the common stockholders have a right to the total net income of $74,000.

Answers

Answer:

1. 59.21%

2. $15.98

Explanation:

Note: The table is attached as picture below

Required: "1. Determine the dividend payout ratio for the common stock 2. Determine the book value per share of Divac’s common stock."

1. Dividend Payout Ratio = Cash Dividend / Net Income * 100

Dividend Payout Ratio = 45,000 / 76,000 * 100

Dividend Payout Ratio = 59.21052631578947%

Dividend Payout Ratio = 59.21%

2. Number of Shares for Preferred Stock = Total Value of Preferred Stock / Par Value Per Share of Preferred Stock

Number of Shares for Preferred Stock = 110,000 /100

Number of Shares for Preferred Stock = 1,100

Liquidation Value of Preferred Stock = Number of Shares of Preferred Stock * Liquidation Price Per Share

Liquidation Value of Preferred Stock = 1,100 * 120

Liquidation Value of Preferred Stock = 132,000

Total Stockholders' Equity ′ = Preferred Stock + Paid in Capital Preferred + Common Stock + Paid in Capital Common + Retained Earnings

Total Stockholders' Equity = 110,000 + 55,000 + 500,000 + 50,000 + 216,000

Total Stockholders' Equity = 931,000

Net Assets Applicable to Common Stock = Total Stockholders' Equity -  Liquidation Value of Preferred Stock

Net Assets Applicable to Common Stock = 931,000 - 132,000

Net Assets Applicable to Common Stock = 799,000

Number of Shares of Common Stock = Total Value of Common Stock / Par Value Per Share of Common Stock

Number of Shares of Common Stock = 500,000 / $10

Number of Shares of Common Stock = 50,000

Book Value Per Share = Net Assets Applicable to Common Stock / Number of Shares of Common Stock Net Assets Applicable to Common Stock

Book Value Per Share = 799,000 / 50,000

Book Value Per Share = $15.98

So therefore, the Book Value Per Share is $15.98 per share

Which of the following statements about adjustments is correct? Multiple Choice Accrued wages are wages owed, but not yet paid, to employees; the accrued wages will need to be recorded with an adjusting entry that increases expenses. When making an adjustment to recognize supplies used in a period, total assets will not change. Deferral adjustments are used to update amounts that have been previously deferred on the income statement. Depreciation is an example of an accrual adjustment.

Answers

Answer:

The Statement that is correct about adjustments is:

Accrued wages are wages owed, but not yet paid, to employees; the accrued wages will need to be recorded with an adjusting entry that increases expenses.

Explanation:

Unpaid wages are adjusted with a debit to the Wages Expense account, which increases the account, and a credit to the Wages Payable account, which also increases the account by the same amount.  The purpose of this accrual adjustment is to ensure that the amount reported as Wages Expense is the actual expense incurred for Wages, whether actually paid or not, and thus report the accurate net income and liabilities for the period.

Sraibn271 Corporation has two divisions: Domestic Division and Foreign Division. Last month, the corporation reported a contribution margin of $46,400 for Domestic Division. Foreign Division had a contribution margin ratio of 35% and its sales were $243,000. Net operating income for the Sraibn271 Corporation was $36,800 and traceable fixed expenses were $51,000.
(ID#19361)
What were Sraibn271 Corporation's common fixed expenses?
a) $131,450
b) $43,650
c) $51,000
d) $94,650

Answers

Answer: b) $43,650

Explanation:

Contribution margin of Domestic division + contribution margin of Foreign division - traceable fixed cost - common fixed cost = Net operating income for company

46,400 + (0.35 * 243,000) - 51,000 - Common = 36,800

80,450 - Common = 36,800

Common = 80,450 - 36,800

= $43,650

Gross Corporation adopted the dollar-value LIFO method of inventory valuation on December 31, 2019. Its inventory at that date was $1,100,000 and the relevant price index was 100. Information regarding inventory for subsequent years is as follows: Inventory at Current Date Current Prices Price Index December 31, 2020 $1,284,000 107 December 31, 2021 1,450,000 125 December 31, 2022 1,625,000 130 What is the cost of the ending inventory at December 31, 2021 under dollar-value LIFO

Answers

Answer: $1,175,000

Explanation:

Cost of ending inventory December 31, 2021;

= December 2019 ending inventory + {(Inventory at 2021 price/2021 index * 2019 index) - December 2019 ending inventory} * 2021 index / 2019 index

= 1,100,000 + {(1,450,000/125 * 100) - 1,100,000} * 125/100

= ‭1,100,000‬ + 75,000

= $1,175,000

When you are posting your résumé online, be sure to adjust it so it is _____.

one page in length
bold
colorful
cyber-safe

Answers

Answer:

I think the answer is one page in length

Explanation:

because when you do a resume you will need to add a length to it beige you post it in.

its unit.
Q.No. 3 The bottom of the ship is made heavy, why?​

Answers

Answer:

Ship to have a stable equilibrium.

Explanation:

The bottom of a ship is made heavy to keep the centre of gravity of ship below the centre of buoyancy so that the ship is in stable equilibrium.

Explanation:

the bottom of the ship is made heavy because to not made the ship sink in the ocean

Doing the right task is known in management as what

Answers

Answer:

Doing the right task is known in management as performance.

Explanation:

Management ensures that the right tasks are performed by coordinating the various activities that help it to achieve goals.  It also plans the right tasks to be carried out in order to achieve set goals and objectives.  In doing all these, it also considers the cost and benefit to be incurred and derived respectively from executing its responsibilities.  Management is always interested in minimizing costs while maximizing benefits.  Management is also concerned with efficiency, by which it minimizes the wastage of resources (such as time, money, and efforts) and ensures optimum utilization of all its resources.

Why does HOSA require students join through a local chapter instead of joining as individuals?

Answers

Answer:

A

Explanation:

on edge

Respass Corporation has provided the following data concerning an investment project that it is considering: Initial investment $ 160,000 Annual cash flow $ 54,000 per year Salvage value at the end of the project $ 11,000 Expected life of the project 4 years Discount rate 15% Click here to view Exhibit 14B-1 and Exhibit 14B-2, to determine the appropriate discount factor(s) using the tables provided. The net present value of the project is closest to:

Answers

Answer: $516

Explanation:

Net Present value is the present value of inflows less present value of outflows.

The project has annual inflows of $54,000 except in 4th year where it will have inflows of $65,000 because the salvage value will be added to the inflows.

Present value of inflows = 54,000/1.12 + 54,000/1.12² + 54,000/1.12³ + 65,000/1.12⁴

= $160,516

Net Present Value = 160,516 - 160,000

= $516

Purchases Budget in Units and Dollars
Budgeted sales of The Music Shop for the first six months of 2010 are as follows:
Month Unit Sales Month Unit Sales
January 140,000 April 200,000
February 140,000 May 160,000
March 200,000 June 220,000
Beginning inventory for 2010 is 60,000 units. The budgeted inventory at the end of a month is 30 percent of units to be sold the following month. Purchase price per unit is $4.
Prepare a purchases budget in units and dollars for each month, January through May.
The Music Shop
Purchases Budget
January - May, 2010
January February March April May
Purchase units:
Purchase dollars:

Answers

Answer:

Results are below.

Explanation:

To calculate the purchases for each month, we need to use the following formula:

Purchases (units)= sales + desired ending inventory - beginning inventory

January (units):

Sales= 140,000

Desired ending inventory= (140,000*0.3)= 42,000

Beginning inventory= (60,000)

Total number of units= 122,000

Total cost= 122,000*4= $488,000

February (units):

Sales= 140,000

Desired ending inventory= (200,000*0.3)= 60,000

Beginning inventory= (42,000)

Total number of units= 158,000

Total cost= 158,000*4= $632,000

March (units):

Sales= 200,000

Desired ending inventory= (200,000*0.3)= 60,000

Beginning inventory= (60,000)

Total number of units= 200,000

Total cost= 200,000*4= $800,000

April (units):

Sales= 200,000

Desired ending inventory= (160,000*0.3)= 48,000

Beginning inventory= (60,000)

Total number of units= 188,000

Total cost= 188,000*4= $752,000

May (units):

Sales= 160,000

Desired ending inventory= (220,000*0.3)= 66,000

Beginning inventory= (48,000)

Total number of units= 178,000

Total cost= 178,000*4= $712,000

Harvey rents his second home. During the year, Harvey reported a net loss of $45,000 from the rental. If Harvey is an active participant in the rental and his AGI is $80,800, how much of the loss can he deduct against ordinary income for the year

Answers

Answer:

$25,000

Explanation:

Based on the information given we were told that a net loss of the amount of $45,000 from the rental was reported which means that if his is an active participant in the rental and his Adjusted gross income (AGI) was the amount of $80,800 the amount of loss that he can deduct against ordinary income for the year will be $25,000 reason been that his Adjusted gross income (AGI) is less than $100,000 and secondly the standard maximum rental amount that will be deducted for Adjusted gross income (AGI) than is less than $100,000 is $25,000.

Dozier Company produced and sold 1,000 units during its first month of operations. It reported the following costs and expenses for the month:
Direct materials $69,000
Direct labor $35,000
Variable manufacturing overhead$15,000
Fixed manufacturing overhead 28,000
Total manufacturing overhead $43,000
Variable selling expense$12,000
Fixed selling expense 18,000
Total selling expense $30,000
Variable administrative expense$4,000
Fixed administrative expense 25,000
Total administrative expense $29,000
Required:
1. With respect to cost classification s for preparing financial state ment s:
a) What is the total product cost?
b) What is the total period cost?
2. With respect to cost classifications for assigning costs to cost objects:
a) What is total direct manufacturing cost ?
b) What is the total indirec t manu facturing cost?
3. With respect to cost classifications for manu facturers :
a) What is the total manufacturing cost
b) What is the total nonmanufacturing cost?
c) What is the total conversion cost and prime cost?
4. With respect to cost classification s for predicting cost behavior:
a) What is the total variable manu factur ing cost?
b) What is the total fixed cost for the company as a whole?
c) What is the variable cost per unit produced and sold?
5. With respect to cost classification s for decision making:
a) If Dozier had produced 1 ,00 I unit s instead of 1 ,000 units, how much incrementa l manufacturing cost would it have incurred to make the additional unit ?

Answers

Answer:

Total product cost

Direct materials                                           $69,000

Direct labor                                                  $35,000

Variable manufacturing overhead              $15,000

Fixed manufacturing overhead                  $28,000

Total Cost                                                     $43,000

Total period cost

Variable selling expense                            $12,000

Fixed selling expense                                 $18,000

Variable administrative expense                 $4,000

Fixed administrative expense                      25,000

Total  Cost                                                   $59,000

Total direct manufacturing cost

Direct materials                                         $69,000

Direct labor                                                $35,000

Variable manufacturing overhead            $15,000

Total Cost                                                  $119,000

Total indirect manufacturing cost

Fixed manufacturing overhead               $28,000

Total Cost                                                  $28,000

Total manufacturing cost

Direct materials                                       $69,000

Direct labor                                              $35,000

Variable manufacturing overhead          $15,000

Fixed manufacturing overhead              $28,000

Total Cost                                                 $43,000

           

Total non-manufacturing cost

Variable selling expense                        $12,000

Fixed selling expense                             $18,000

Variable administrative expense             $4,000

Fixed administrative expense                $25,000

Total Cost                                                $59,000

Total Conversion Cost

Direct labor                                            $35,000

Variable manufacturing overhead        $15,000

Total Cost                                               $50,000

Total Prime Cost

Direct materials                                     $69,000

Direct labor                                            $35,000

Total Cost                                             $104,000

Total variable manufacturing cost

Direct materials                                    $69,000

Direct labor                                           $35,000

Variable manufacturing overhead       $15,000

Total Cost                                             $119,000

Total fixed cost for the company as a whole

Fixed manufacturing overhead          $28,000

Fixed selling expense                          $18,000

Fixed administrative expense            $25,000

Total Cost                                             $71,000

Variable cost per unit produced and sold

Direct materials                                  $69,000

Direct labor                                         $35,000

Variable manufacturing overhead     $15,000

Variable selling expense                    $12,000

Variable administrative expense         $4,000

Total Variable Cost                            $135,000

Unit Variable Cost = Total Variable Cost ÷ Number of Units

                               = $135,000 ÷ $1,000

                               = $135

On January 1, 2020, Global Sales issued $25,000 in bonds for $29,800. These are eight-year bonds with a stated rate of 15% and pay semiannual interest. Global Sales uses the straight-line method to amortize the bond premium. On June 30, 2020, when Global makes the first payment to bondholders, what is the amount that will be reported as Interest Expense? (Round your intermediate answers to the nearest dollar.) Group of answer choices $1575 $3225 $1875 $1225

Answers

Answer:

$ 1,875  

Explanation:

Note that cash payable to bondholders semiannually( semiannual coupon payment) is the face value multiplied by the stated rate of 15% apportioned to reflect six-month payment rather than a whole year as computed below:

semiannual coupon payment=face value*coupon rate*6/12

face value=$25,000

coupon rate=15%

semiannual coupon payment=$25,000*15%*6/12

semiannual coupon payment=$1,875  

In examining investors’ preferences for dividends, it is useful to begin with the concept of dividend irrelevance. Dividend irrelevance suggests that in a world with no taxes or brokerage (or transaction) costs, firms and investors are indifferent to the paying or receiving of dividends. However, as these restrictions are relaxed, various factors suggest that firms should pursue high or low payouts. One such factor is:

Answers

Answer: Favor a high payout

Explanation:

Investors are allowed to exclude as much as 70% of dividend income from taxes. They will therefore demand a higher payout in terms of investment so that they make make more income after they exclude taxes.

For instance, assume investors had a choice between receiving $40 and $60 in dividends.

On $40, the non-taxable amount would be = 40 * 70% = $28

On $60, the non-taxable amount would be = 60 * 70% = $42

They will pick the higher payout of $60 in order to get more income after tax.

Dukelow Corporation has two divisions: the Governmental Products Division and the Export Products Division. The Governmental Products Division's divisional segment margin is $41,300 and the Export Products Division's divisional segment margin is $93,700. The total amount of common fixed expenses not traceable to the individual divisions is $106,800. What is the company's net operating income (loss)?Brewer 8e Rechecks 2018-06-22a) $241,800b) $135,000c) $28,200d) $135,000

Answers

Answer:

c) $28,200

Explanation:

The computation of the net operating income is as follows

Total segment margin is

= $41,300 + $93,700

= $135,000

And, the common fixed expenses is $106,800

So, the net operating income is

= Total segment margin - common fixed expenses

= $135,000 - $106,800

= $28,200

Hence, the net operating income is $28,200

Therefore the correct option is c.

Riverrun Co. provides medical care and insurance benefits to its retirees. In the current year, Riverrun agrees to pay $31,500 for medical insurance and contribute an additional $9,650 to a retirement program. Record the entry for these accrued (but unpaid) benefits on December 31.

Answers

Answer:

Date                     Details                                                Debit               Credit

December 31,      Employee benefits expense            $41,150

                             Medical insurance payable                                    $31,500

                             Employee Retirement program                             $9,650

                             payable

Working

= 31,500 + 9,650

= $41,150

A company that sends email advertising messages to millions of individuals without their permission violates?

Answers

Answer

no it doesn't  violate because its and advertisement and millions of businesses do it

Explanation:

Answer:

the CAN-SPAM act

Explanation:

An all-equity firm is considering the following projects: Project Beta IRR W .63 9.4 % X .76 10.5 Y 1.29 14.0 Z 1.40 17.1 The T-bill rate is 5.1 percent, and the expected return on the market is 12.1 percent. a. Which projects have a higher/lower expected return than the firm’s 12.1 percent cost of capital? b. Which projects should be accepted? c. Which projects will be incorrectly accepted/rejected or correctly accepted/rejected if the firm's overall cost of capital were used as a hurdle rate?

Answers

Answer:

Project Beta IRR project's cost of equity

W .63 9.4% = 5.1% + (0.63 x 7%) = 9.51%

X .76 10.5% = 5.1% + (0.76 x 7%) = 10.42%

Y 1.29 14.0% = 5.1% + (1.29 x 7%) = 14.13%

Z 1.40 17.1% = 5.1% + (1.40 x 7%) = 14.9%

the company's cost of capital = 12%

a. Which projects have a higher/lower expected return than the firm’s 12.1 percent cost

of capital?  

higher expected return ⇒ projects Y and Z lower expected return ⇒ projects W and X

b. Which projects should be accepted?

accepted ⇒ projects X and Z (their IRR is higher than their Re) rejected ⇒ projects W and Y (their IRR is lower than their Re)

c. Which projects will be incorrectly accepted/rejected or correctly accepted/rejected if  the firm's overall cost of capital were used as a hurdle rate?

if the company uses its cost of capital, then it would incorrectly reject project W  and incorrectly accept project Y  

Bramble Corp. purchased a truck at the beginning of 2020 for $109000. The truck is estimated to have a salvage value of $3700 and a useful life of 121000 miles. It was driven 21000 miles in 2020 and 29000 miles in 2021. What is the depreciation expense for 2021

Answers

Answer:

2020 = 18275.206

2021 = 25237.190

Explanation:

Cost of truck at beginning of 2020 = $109,000

Salvage value = $3700

Useful life = 121,000 miles

Miles driven in 2020 = 21000

Miles driven in 2021 = 29000

Depreciation expense 2020:

((Cost of asset - salvage value) / useful life) * miles driven in 2020

((109,000 - 3700) / 121000) * 21000

0.8702479 * 21000 = 18275.206

Depreciation expense 2021:

((109,000 - 3700) / 121000) * 29000

= 25237.190

On January 1, Year 1, Lowing Company acquired a patent from Generics Research Corporation for $3 million. The legal life of the patent is 20 years, but Lowing expects to use it for 5 years. Pawson Company has committed to purchase the patent from Lowing for $500,000 at the end of that 5-year period. Lowing uses the straight-line method to amortize intangible assets with finite useful lives. What is the amount of amortization expense each year

Answers

Answer:

patent amortization expense per year = $500,000 per year

Explanation:

patent amortization expense per year = depreciable value / useful life of the intangible asset

depreciable value = purchase cost - salvage value = $3,000,000 - $500,000 = $2,500,000useful life of the patent = 5 years (the legal life is different than the useful life)

patent amortization expense per year = $2,500,000 / 5 years = $500,000 per year

OKRs can be executed in stages. The first stage would be keyed to a deadline and then then once the project is completed and running objectives can be keyed to cash flow metrics.
a) true
b) false

Answers

Answer:

b) false

Explanation:

OKR is a goal-setting method used by companies. It is impleemented using following steps

Communicate the OKRChoose a tool used for OKROrganize the Company's OKRSet the company's OKRSet every single OKR for teams, departments and IndividualsMake the changes in OKR if requiredApprove the OKR Evaluate the OKR at each period end.

So, the OKR cannot be implemented in a single step and it requires multiple steps.

Hence the given statement is false.

Mini, Inc., earns pretax book net income of $1,900,000 in 2019. Mini deducted $196,400 in bad debt expense for book purposes. This expense is not yet deductible for tax purposes. Mini reports $1,995,000 of pretax book net income in 2020. Mini did not recognize any bad debt expense for book purposes in 2020 but did deduct $147,300 in bad debt expense for tax purposes. Mini reports no other temporary or permanent differences. The applicable U.S. Federal corporate income tax rate is 21%, and Mini earns an after-tax rate of return on capital of 8%. Enter below the 2020 end-of-year balance in Mini's deferred tax asset and deferred tax liability balance sheet accounts.
If an amount is zero, enter "0". If required, round your answers to the nearest dollar.
2020
a. Deferred tax asset account balance $
b. Deferred tax liability account balance $
c. In time value of money terms, what has been the cost to Mini of the deferred tax deduction for bad debts? The present value factor at 8% is 0.9259.

Answers

Answer:

a. $10,311

b. $0

c. $9,546.95

Explanation:

a. Deferred tax asset account:

= Deferred tax asset 2019 + Deferred tax asset 2020

Deferred tax asset 2019 = Bad debt for book purposes * tax rate

= 196,400 * 21%

= $41,244

Deferred tax asset 2020 = Bad debt for tax purposes * tax rate

= 147,300 * 21%

= -$30,933

Deferred tax account balance = 41,244 + (- 30,933)

= $10,311

b. Deferred tax liability account = $0

From the given details there are no tax liabilities.

c. Cost to Mini;

= Deferred tax asset * Present value factor

= 10,311 * 0.9259

= $9,546.95

The amount of income tax payable in future years or subsequent periods in respect of taxable transitory differences is referred to as the deferred tax liability. To put it another way, deferred tax (DT) is a tax that is due in the future.

The answers for questions a, b, and c are $10,311, no tax liabilities ($0), and $ 9.546.95 respectively.

a. Computation of Deferred tax asset (DT) account:

[tex]= \text{DT of 2019} + \text {DT of 2020}\\\text{DT of 2019}= \text{ Bad debts for book purchases} \text{ x } \text{Tax rate}\\\text{DT of 2019}= 196,400 \text{ x } 0.21\\\text{DT of 2019}= 41,244\\\\\text{DT of 2020}= \text{ Bad debts for book purchases} \text{ x } \text{Tax rate}\\\text{DT of 2020}= 147,300 \text{ x } 0.21\\\text{DT of 2020}= 30,933\\\\\text{ DT balance}= 41,244 + (-30,933) \\\text{ DT balance}=10,311[/tex]

b. Deferred tax liability account = $0

There are no tax liabilities based on the information provided.

c. Computation of the cost to Mini;

DT = Deferred Asset Tax

PV = Present value factor

[tex]=\text{DT} \text{ x } \text{PV}\\\= 10,311 \text{ x } 0.9259\\\=9,546.95[/tex]

Therefore, the deferred tax deduction for bad debts is $9,546.95

For more information regarding deferred tax computations, refer to the link:

https://brainly.com/question/15394738

Select the examples of layoffs. Check all that apply. India loses her job as an Urban Planner because the city ran out of funding. Tori loses her job as a Foreign Service Officer because she is not good at communicating with or negotiating with foreign officials. Hunter loses his job as a Tax Examiner because he keeps making mistakes. Fidel loses his job as an Eligibility Interviewer because Legislators decided to cut his department, even though Fidel was very good at his job.

Answers

Answer:

Fidel loses his job as an Eligibility Interviewer because Legislators decided to cut his department, even though Fidel was very good at his job.

Explanation:

A layoff refers to the termination of an employment contract due to a shortage of work. Employers initiate layoffs. They may be a temporary suspension of employment or permanent termination.

Layoffs are not a result of an employee's fault or incompetency. They may be caused by declining revenue, some operations' shutdown,  automation of processes, and outsourcing of some services.  

Fidel's case was a layoff. There was no work available for him after his department was shutdown.

Answer:

A.) India loses her job as an Urban Planner because the city ran out of funding.

D.) Fidel loses his job as an Eligibility Interviewer because Legislators decided to cut his department, even though Fidel was very good at his job.

Explanation:

I don't have an explanation but I did get this right on edge

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