answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Sloan [31]
2 years ago
7

The country of Lessidinia has a tax system identical to that of the United States. Suppose someone in Lessidinia bought a parcel

of land for 20,000 foci (the local currency) in 1960 when the price index equaled 100. In 2002, the person sold the land for 100,000 foci, and the price index equaled 600. The tax rate on nominal gains was 20 percent. Compute the taxes on the nominal gain and the change in the real value of the land in terms of 2002 prices to find the after-tax real rate of capital gain.
Business
1 answer:
Montano1993 [528]2 years ago
8 0

Answer: -30%

Explanation:

The Nominal gain is:

= 100,000 - 20,000

= 80,000 foci

Tax on nominal gain:

= 20% * 80,000

= 16,000 foci

After tax nominal value of land:

= 100,000  - 16,000

= 84,000 foci

The real value given the price index is:

= 84,000 / 600 * 100

= 14,000 foci

After tax real rate of cap. gain:

= (14,000 - 20,000) / 20,000

= -30%

You might be interested in
Which of the following statements about decomposition is the least true? Decomposition involves structuring and organizing the W
kari74 [83]

Answer:

Decomposition subdivides the major deliverables into smaller components.  It is a tool and technique of the Create WBS process and is isued to create a WBS.  

Level two components might be deliverables, phases, subprojets, or some combination

5 0
2 years ago
PLEASE HELP ASAP!!!!
dimaraw [331]

Answer:

its A

Explanation:

Debt Financing

5 0
2 years ago
Read 2 more answers
A credit card issuer charges an APR of 19.56%, and its billing cycle is 30 days long. What is its periodic interest rate?
Gelneren [198K]
<span> 1.60657%. this is the answer </span>
8 0
2 years ago
Read 2 more answers
________ headings are self-contained, which means that readers can skim through just the headings and subheadings and understand
Misha Larkins [42]

Answer:

Descriptive

Explanation:

Descriptive headings are self-contained, which means that readers can skim through just the headings and subheadings and understand them without reading the rest of the document.

Descriptive headings highlights the important matter and main points of the content of the information and they are used to help readers to quickly spot the summary of the points to be communicated.

Furthermore, descriptive headings help readers find and understand information quickly which meets the required qualitative factors of the timeliness and comprehensibility of information.

7 0
2 years ago
When its sales were declining, canadian airline conducted a marketing survey to understand the expectations of the business trav
Montano1993 [528]

Answer:

The correct answer would be, The Canadian Airline would have used Lost Customer Recovery Strategy.

Explanation:

When the sales of the Canadian Airline declines, they surveyed their target market which is Business Class Travelers. From the responses of the customers, they found out that customers feel bounded by the staff of the airplane. They think that they were totally controlled by the staff on board.

Now if the Canadian Airline would have surveyed their former customers, then they would have known why they left their airline, and what was their concerns and what they want in this airline; then the strategy used by them would have Lost Customer Recovery Strategy.

7 0
2 years ago
Other questions:
  • Managers have a tendency to let their programmed activities overshadow their nonprogrammed activities because ________.
    7·1 answer
  • A nursing facility has a gross income of $486,000, fixed expenses of $300,000, and variable expenses of $150,000. what is the ap
    8·1 answer
  • A marketing report concerning personal computers states that 650,000 owners will buy a printer for their machines next year and
    15·1 answer
  • Oil Wells offers 5.65 percent coupon bonds with semiannual payments and a yield to maturity of 6.94 percent. The bonds mature in
    6·2 answers
  • You are preparing for a 3-month global assignment in Turkey working on an international quality improvement team for your compan
    8·1 answer
  • Eddie just landed his first job out of college, and he’s excited about the position. However, Eddie needs to be dressed up every
    8·1 answer
  • In 2009, the great recession finally took its toll on the Alamo Title company in San Antonio, Texas. The housing business was in
    7·1 answer
  • Absorption and Variable Costing Comparisons: Production Equals Sales Assume that Smuckers manufactures and sells 30,000 cases of
    6·1 answer
  • Larry Nelson holds 1,000 shares of General Electric common stock. The annual shareholders meeting is being held soon, but as a m
    13·1 answer
  • Janet and Megan are roommates. They spend most of their time studying (of course), but they leave some time for their favorite a
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!