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timofeeve [1]
2 years ago
9

On July 16, 2019, Logan acquires land and a building for $500,000 to use in his sole proprietorship. Of the purchase price, $400

,000 is allocated to the building, and $100,000 is allocated to the land. Cost recovery of $4,708 is deducted in 2019 for the building (nonresidential real estate).
Required:
a. What is the adjusted basis for the land and the building at the acquisition date?b. What is the adjusted basis for the land and the building at the end of 2019?
Business
1 answer:
stellarik [79]2 years ago
4 0

Answer and Explanation:

The computation is shown below:

a) The adjusted basis for the land and the building at the acquisition date is

Land = $100,000

Building = $400,000

We recognized the purchase price of land and building

b. And, the adjusted basis for the land and the building at the end of 2019 is

Land = $100,000

Building is

= $400,000 - $4,708

= $395,292

We considered the cost recovery   for the computation above

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A firm purchased raw materials on account and paid for them within 30 days. The raw materials were used in manufacturing a finis
Nataly_w [17]

Answer: 130 days

Explanation:

The Cash Conversion Cycle is a measure that attempts to show how many days on average it takes a company to convert resources into cash.

It is calculated with the following formula,

= Days of Inventory Outstanding + Days of Sales Outstanding - Days of Payables Outstanding

Where,

Days of Inventory Outstanding is the amount of days it takes to convert inventory to sales

Days of Sales Outstanding is the amount of time it takes debtors to pay the company for goods they bought and,

Days of Payables Outstanding is the time it took the company to pay for the goods it bought

Plugging in the figures we have,

= 100 + 60 - 30

= 130 days

The firm's cash conversion cycle is 130 days.

7 0
2 years ago
Which of the following systems is especially suited to situations in which the procedure for arriving at a solution may not be f
Step2247 [10]

Answer:

The correct answer is the option D: Decision Support System.

Explanation:

To begin with, <em>''Decision Support System''</em> or DDS is the name given to a type of information system whose main purpose is to help the users in the decision making process by given them support regarding data mining and the recollection of information in order to <u>present several alternatives that may help the user to resolve a problem that may be rapidly changing and not easily specified in advance</u>, for example unstructured decision problems.

8 0
2 years ago
An economy produces 1,000,000 computers valued at $2,000 each. Households purchase 200,000 computers, of which 100,000 are impor
Irina18 [472]

Answer:

$800 million

Explanation:

GDP = consumption (C) + investment (I) + government spending (G) + Net Export (NX)

Y = C + I + G + NX

The number of computers left is

= 1,000,000 - 200,000 (household) - 300,000 (businesses) - 300,000 (government) - 100,000 (Foreign)

= 100,000

This worth 100,000 × $2,000 = 200 million

                  300,000 computers × $2,000 = 600 million

Total of these two = 200 + 600 million

                              = 800 million

Therefore, the value of the investment component of GDP is $800 million.

7 0
2 years ago
What are other ethical concerns that Stilton may be facing?
Agata [3.3K]

Complete Question:

James Stilton is the chief executive officer (CEO) of RightLiving, Inc., a company that buys life insurance policies at a discount from terminally ill persons and sells the policies to investors. RightLiving pays the terminally ill patients a percentage of the future death benefit (usually 65%) and then sells the policies to investors for 85% of the value of the future benefit. The patients receive the cash to use for medical and other expenses, and the investors are "guaranteed" a positive return on their investment. The difference between the purchase and sale prices is RightLiving's profit.

Stilton is aware that some sick patients may obtain insurance policies through fraud (by not revealing their illness on the insurance application). An insurance company that discovers such fraud will cancel the policy and refuse to pay. Stilton believes that most of the policies he has purchased are legitimate, but he knows that some are probably not.

Requirement:

What are other ethical concerns that Stilton may be facing?

Answer with Explanation:

The ethical concerns of Stilton are as under:

  • Should he tell the investors about the fraud about the policies before making sales?
  • What policies must be implemented so that the legitimate people can easily sell the policies and if not implemented it would not be fair for the RightLiving, Inc.
  • Stilton will also be facing ethical concerns because the business wishes that the customer dies early so that they can benefit from increased deaths of policy holders.
5 0
2 years ago
Suppose that the president proposes a new law aimed at reducing healthcare costs: All Americans are required to eat one apple da
sergeinik [125]

Answer:

A. The value of the marginal product of apple pickers increases

B. The equilibrium price of apples increases.

F. The wage of apple pickers increases.

Explanation:

  • In order to keep the healthcare costs low and increase the health care benefits of the people president proposed the apple a day law. Demand for the apples increase as and the equilibrium price of the apples also increases.  
  • There are no changes in the marginal producers of the apples. The values of the marginal producers of the apple increases. Demand for the apple pickers also increases along with the daily wages.
7 0
2 years ago
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