A small business sold an equipment for $30,000 after depreciating the equipment using the MACRS depreciation method. The applicable federal tax rate for the company is 39%. The federal tax liability on this depreciation recapture is $10,200 if the company also had other taxable income of $200,000 in that year.

a. True
b. False

Answers

Answer 1
Answer::::: is false

Related Questions

A consumer has $180 in monthly income to spend on two goods, D and G, where D is on the y-axis. The price of good D, PD is $6, and the marginal rate of transformation is -2. How many units of good G can be purchased if all income is used to purchase good G

Answers

Answer:

The number of units of good G that can be purchased if all income is used to purchase good G is 15 units.

Explanation:

Since D is on the y-axis, indicating G is on the x-axis, the formula for calculating the marginal rate of transformation (MRT) is given as follows:

MRT = - PG / PD …………………. (1)

Where:

MRT = Marginal rate of transformation = -2

PG = Price of good G = ?

PD = Price of good D = $6

Substituting the relevant values into equation (1) and solve for PG, we have:

-2 = - PG / $6

PG = -2 * (-6) = $12

Therefore, we have:

Number units of good G if all income is spent on it = Monthly income / PG = $180 / $12 = 15

Therefore, the number of units of good G that can be purchased if all income is used to purchase good G is 15 units.

Three months of rent were prepaid on May 1 for $7,200, but two months have now expired, leaving only one month prepaid at June 30. What is the amount of rent expense that will be recorded in the related adjusting entry dated June 30?a- $0b- $2,400c- $4,800d- $7,200

Answers

Answer:

b- $2,400

Explanation:

The computation of the amount that should be recorded is given below:

= 3 months rent ÷ number of months

= $7,200 ÷ 3 months

= $2,400

Hence, the amount of rent that should be recorded is $2,400

Therefore the option b is correct

The same should be considered

______ consists of the activities that managers perform to plan for, attract, develop, and retain an effective workforce.
a) Arbitration
b) Formal appraisal
c) Human capital
d) Orientation
e) Human resource management

Answers

Human resource management.

Last month, the Tecumseh Corporation supplied 400 units of three-ring binders at $6 per unit. This month, the company supplied the same quantity of binders at $4 per unit. Based on this evidence, Tecumseh has experienced:_________.
a. a decrease in supply
b. an increase in supply
c. an increase in the quantity supplied
d. a decrease in the quantity supplied.

Answers

Answer:

B

Explanation:

according to the law of supply, the higher the price, the higher the quantity supplied and the lower the price, the lower the quantity supplied

in this question, there was only a change in price but no change in the quantity supplied.

so a change in supply and not a change in the quantity supply occured

determine supply per price

400 / 6 = 67

400 / 4 = 100

supply increased

Which theory would most likely explain why a commercial bank, which usually focuses on short-term securities, would switch to long-term securities due to a change in interest rates. pure expectation liquidity premium segmented market preferred habitat

Answers

Answer:

preferred habitat

Explanation:

According to the preferred habitat theory, if the expected returns from investment of a particular investment maturity is large enough, investors would shift from their preferred maturities.

In this question, there is a shift from the preferred maturity (short-term securities) to a long-term securities when interest rate changes

The pure expectations theory assumes that bonds of any maturity are perfect substitutes for each other. For example, if an investor buys a 10 year bond and holds it for 1 year, the return is the same as buying a 1 year bond. The theory also assumes that risk premium does not exist and a security only earns its risk free rate

Liquidity premium theory states that risk premium increases with the maturity of a bond. The theory predicts that the yield curve is upward sloping due to liquidity premium

According to the segmented market theory, each bond maturity segment can be thought of as a segment market in which yield are a function of the demand and supply for funds in that maturity.

Dave's Duds reported cost of goods sold of $1,600,000 this year. The inventory account increased by $130,000 during the year to an ending balance of $465,000. What was the cost of merchandise that Dave's purchased during the year?

Answers

Answer:

$1,730,000

Explanation:

Calculation to determine the cost of merchandise that Dave's purchased during the year

COGS $1,600,000

Add: Increase in inventories $130,000

Purchases $1,730,000

($1,600,000+$130,000)

Therefore the cost of merchandise that Dave's purchased during the year is $1,730,000

Carol Co. prepares a statement of cash flows starting with net income and then adjusting for items necessary to obtain net cash provided or used by operating activities. Carol Co. must be using the______method of reporting the statement of cash flows.

Answers

Answer:

indirect

Explanation:

From the question we are informed about Carol Co. prepares a statement of cash flows which start with net income and then adjusting for items necessary to obtain net cash provided or used by operating activities. In this case, Carol Co. must be using the

indirect method of reporting the statement of cash flows. In financial accounting, cash flow statement can be regarded as financial statement which express the way changes in balance sheet accounts as well as income affect cash and cash equivalents, and also give the analysis breakdown to operating, financing as well as investingactivities.

The methods for reporting statement of cash flows could be Direct or indirect method.

The indirect method can be regarded as method that gives presentation of the statement of cash flows by strating

with net income or net loss, along with deduction or additions to the amount for non-cash revenue and expense items or from them which comes subsequently, which then results to cash flow from operating activities.

More than 99% of all U.S. firms are classified as small businesses, and they employ about half of private workers. A small business is defined as any independently owned and operated business that is not dominant in its competitive area and does not employ more than 500 people. Understanding the advantages and disadvantages of small business ownership is crucial for any potential entrepreneur.
Match each statement or scenario with the appropriate advantage or disadvantage of small business
i. ownership.ii. Focusiii. Reputationiv. High stress levelv. Inexperience/Incompetencevi. Flexibilityvii.Inability to cope with growthviii.Costsix. Independencex. High failure rateMatch each of the options above to the items below.1. One of the leading reasons for becoming your own boss. 2. A 20-employee factory does not have a designated accounting or advertising department.3. The pizzas offered on the Patrick’s Pizza menu are often based on the types of produce in season.4. Mike’s trucking business provides specific information and products to commercial truck drivers.5. Brandy’s nursery offers delivery and expert installation of their trees at no extra cost to the customer and will replace any defective one up to 3 years after purchase.6. Sue works more than 60 hours a week at her construction business and cannot find reliable suppliers for lumber inventory.
7. Half of all new employer firms fail within the first five years.8. As a fitness expert, Tyler is having difficulties understanding the accounting requirements for his bank business loan for his workout facility.9. Circumstances such as products not arriving on time due to limited capacity affect the reputation of a company more than any other factor.

Answers

Answer:

A

Explanation:

Other Questions
Which development best illustrates why world war I is classified as a total war? 3. Two dice are rolled. Whats the conditional probability that both dice are 5s if its known that the sum of points is divisible by 5? Identify the following:Imagine if dinosaurs still existed, roaming the streets alongside humans.A. Comma spliceB. Fused sentence C. Correct Was foreign policy after World War II focused more on collaboration or competition between the world's superpowers?After the Second World War, only the U.S. and the Soviet Union were considered superpowers. How did their philosophies differ? Did they work together or did they work against one another? What are properties of rocks . Match the following countries with their capital city.1. Colombia2. Ecuado3. Bolivia4. Venezuela5. Pera. Bogotb. La Pazc. Caracasd. Limae. Quito f(x) = 3x + 10f(x)-3-2-1-4 Which of the following best explains the role that domination of Asian trade routes in the north and multiple seaports in the east,west,and south had on the Indian subcontinent Please help me with this discussion assignment. I been posting it multiple times hopping for an answer. Its an urgent assignment. Help asap!Give some thought to the changes that the Spanish brought to California. Think about the effect the Spanish had on Modern California/California today Among U.S. high school students, what is TRUE about intimate partner violence (IPV)?a.Teenage IPV looks very different from adult IPV.b.IPV affects about one tenth of the population.c.IPV occurs more in rural areas than in urban areas.d.IPV is not a significant problem. reverend parris did not want to expose the fact that the girls lied because___A.nobody would believe it and chaos or further mass hysteria would result B.he would be seen as a liar, tooC.it would make the church officials look like liarsD.his daughter would be seen as a liar, too, and his reputation be ruined find the value of a and the value of b :4x2 - 4x - 15 is a factor of 4x3 + ax2 + bx + 30. provide one term:when businesses produce goods and services that consumers do not want Which structure describes a Shakespearean sonnet?fourteen lines with ten syllables, but varying rhyme schemesthree rhyming quatrains followed by a rhyming couplettwo seven-line stanzas with a repeated rhyme schemeseven stanzas of rhyming couplets who helped benjamin franklin meet his goal?please help Which of the following has been a long-term effect of the Industrial Revolution ?a) Increase environmental damageb) Greater international peacec) A reduction in the population worldwided) More even distribution of wealth The authors purpose here is to describe his perspective about the falcons he encountered. Which descriptive details create imagery that support the authors purpose? Check all that apply.in the mountains hereabouts are bredthe swiftest in flightyou may take my wordfly at such incalculable speedno bird can escape them by flight whats the value of x? -5(x + 7) = -14 + 2x The agricultural practice of irrigation leaves behind which pollutant in thesoil?O A. SaltB. Acidic compoundsC. Nitrogen compoundsD. PesticidesThe answer is Salt !! Find the area of the shaded figure. The area is square units (AREA OF COMPOSITE FIGURES)