Answer and Explanation:
a) rent income from sarah's vacation house will not affect her AGI, because according to rules if vacation house is used fewer than 15 days, in that case it is treated as a personal house and its expenses and income have not effect on the AGI. only the mortgage interest and property yax will be deducted from AGI.
b) only the mortgage interest and property yax will be deducted from AGI. other expenses are non-deductible from AGI because these are treated as personal expenses.
Answer and Explanation:
The company handles the credit accounts including methods of invoicing and collecting past-due accounts, is indicated by the collection policy as it includes the net days given to the customers
Now if the customer pays the cash within eight days after the sale, the amount of cash paid is
= $100,000 × 0.99
= $99,000
And, if payment is made after 15 days so no discount would be given as it is exceeded the prescribed time limit i.e 10 days. So in this case the $100,000 cash is paid
Now the days sales outstanding is
= 0.30 × 10 + 0.70 × 35
= 3 +24.5
= 27.50 days
Answer:
Option (b) is correct.
Explanation:
Cyclical unemployment refers to the unemployment that occured because of the fall in the demand for goods and services in an economy. It is largely affected by the fluctuations in economic growth of a country. When the overall demand for goods and services are not matched with the full employment in an economy. This unemployment is mostly occured when the economy of a country is contracting.
Answer:
c. $86,000
Explanation:
The operating activities in the cash flow is the area where day to day business activities are recorded. This area mainly covers the cash incoming and outgoing due to regular business activities. The company paid dividends to its shareholders this will be considered as a financing activity as it is not of regular nature.
Answer:
Total variable cost if 4 units were produced
= $33.75 x 4 units = $135
Total fixed cost = Total cost - Total variable cost
Total fixed cost = $175 -$135
Total fixed cost = $40
Average fixed cost = Total fixed cost/No of units
Average fixed cost = $40/10 units
Average fixed cost = $4
The correct answer is B
Explanation:
In this case, we need to calculate the total variable cost on the ground that 4 units were produced. Then, we will determine the total fixed cost by deducting the total variable cost from total cost. Finally, we will divide the total fixed cost by 10 units in order to obtain the average fixed cost.
