Derek, a cash basis, unmarried taxpayer, had $1,580 of state income tax withheld during 2019. Also in 2019, Derek paid $158 that was due when he filed his 2018 state income tax return and made estimated payments of $3,160 towards his 2019 state income tax liability. When Derek files his 2019 Federal income tax return in April 2020, he elects to take the standard deduction, which reduced his taxable income. As a result of overpaying his 2019 state income tax, Derek receives a refund of $1,106 in 2020.How much of the $1,106 will Derek include in his 2020 gross income?

Answers

Answer 1

Answer:

Answer:

Explanation:

The deductions made as seen were in the year 2019.

If Derek elects to take standard deduction in filling federal income tax return, the amount of refund will not be taxable and not to be included in 2020 gross income

Hence, no tax benefit rule applies as the standard deduction was taken in 2019.

Amount of refund that will be included in 2020 gross income is thus $0

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A U.S. manufacturing company operating a subsidiary in an LDC (less-developed country) shows the following results: U.S. LDC Sales (units) 100,505 19,600 Labor (hours) 19,550 14,550 Raw materials (currency) $ 20,500 19,550 (FC) Capital equipment (hours) 58,600 4,550 *Foreign Currency unit a. a. Calculate partial labor and capital productivity figures for the parent and subsidiary. (Round your answers to 2 decimal places.)
b. Compute the multifactor productivity figures for labor and capital together. (Round your answers to 2 decimal places.)
c. Calculate raw material productivity figures (units/$ where $1

Answers

Answer:

Part A:

Labur Productivity:

For US=5.14, LDC=1.35

Capital Productivity:

For US=1.72 LDC=4.31

Part B:(Multi factor productivity)

For US=1.29 LDC=1.03

Part C: (Raw material productivity)

For US=4.90 LDC=10.02

Explanation:

Part A:

Labur Productivity:

For US:

$Partial Labor Productivity=(Sale(units))/(Labour(hours) \nPartial Labor Productivity=(100505)/(19550) \nPartial Labor Productivity=5.14$

For LDC:

$Partial Labor Productivity=(Sale(units))/(Labour(hours) \nPartial Labor Productivity=(19600)/(14550) \nPartial Labor Productivity=1.35$

Capital Productivity:

For US:

$Capital Productivity=(Sale(units))/(Capital Equipment) \nCapital Productivity=(100505)/(58600)\nCapital Productivity=1.72$

For LDC:

$Capital Productivity=(Sale(units))/(Capital Equipment) \nCapital Productivity=(19600)/(4550)\nCapital Productivity=4.31$

Part B:

For US:

$Multifactor Productivity=(Sales(units))/(labour(Hours) + Capital Equipment(hours))\n Multifactor Productivity=(100505)/(19550+58600) \nMultifactor Productivity=1.29$

For LDC:

$Multifactor Productivity=(Sales(units))/(labour(Hours) + Capital Equipment(hours))\n Multifactor Productivity=(19600)/(14550+4550) \nMultifactor Productivity=1.03$

Part C:

For US:

$Raw material productivity=(Sales(Hour))/(Raw Material) \n Raw material productivity=(100505)/(20500) \n Raw material productivity=4.90$

ForLDC:

Converting Raw material FC into $ (1$=10FC)

Raw Material =19550/10=$1955

$Raw material productivity=(Sales(Hour))/(Raw Material) \n Raw material productivity=(19600)/(1955) \n Raw material productivity=10.02$

Zebra Company reports the following figures for the years ending December 31, 2017 and 2016: What are the percentage changes from 2016 to 2017 for Net Sales, Cost of Goods Sold and Gross Profit, respectively? (Round your final answers to one decimal place, X.X%) A. 100%, 162.5%, 10.8% B. 37.8%, 10.8%, 162.5% C. 100%, 0.9%, 0.4% D. 162.5%, 37.8%, 10.8%

Answers

Answer:

B. 37.8%, 10.8%, 162.5%

Explanation:

1. Changes in Net Sales

We know,

Percentage changes in Net sales from previous year to current year =

$(2017 Net income - 2016 Net income)/(2016 Net income)$

Given,

$Net Sales_(2017)$ = $62,000

$Net Sales_(2016)$ = $45,000

Therefore,

Percentage changes in Net Sales = $(62,000 - 45,000)/(45,000)$

Percentage changes in Net Sales = 37.8% (Rounded to 1 decimal Places)

Therefore, Net sales changes 37.8% from 2016 to 2017.

2. Changes in Cost of Goods sold

We know,

Percentage changes in Cost of goods sold from previous year to current year = $(2017 COGS - 2016 COGS)/(2016 COGS)$

Given,

$COGS_(2017)$ = $41,000

$COGS_(2016)$ = $37,000

Putting the value in the above formula,

Percentage changes in COGS = $(41,000 - 37,000)/(37,000)$

Percentage changes in COGS = 10.8%

Therefore, Cost of goods sold changes 10.8% from 2016 to 2017.

3. Changes in Gross Profit

We know,

Percentage changes in Gross Profit from previous year to current year = $(2017 Gross Profit - 2016 Gross Profit)/(2016 Gross Profit)$

Given,

$Gross Profit_(2017)$ = $21,000

$Gross Profit_(2016)$ = $8,000

Hence,

Percentage changes in Gross Profit = $(21,000 - 8,000)/(8,000)$

Percentage changes in Gross Profit = 162.5%

Therefore, Gross Profit changes 162.5% from 2016 to 2017.

You purchase a share of Boeing stock for $90. One year later, after receiving a dividend of $3, you sell the stock for $92. What was your holding-period return

Answers

Answer:

5.56%

Explanation:

Computation for holding-period return

Using this formula

Holding-period return =(Stock sales- Purchased Share + Dividend)/Purchased share

Let plug in the formula

Where,

Stock sales=92

Purchased Share=90

Dividend=3

Holding-period return=(92 - 90 + 3) / 90

Holding-period return=5/90

Holding-period return=0.0556×100

Holding-period return= 5.56%

Therefore the Holding-period return will be 5.56%

The following data (in millions) are taken from the financial statements of Tarrow Corporation: Recent Year Prior Year Revenue $386,972 $356,000 Operating expenses 326,634 303,000 Operating income $60,338 $53,000 a. For Tarrow Corporation, determine the amount of change in millions and the percent of change (round to one decimal place) from the prior year to the recent year for: Revenue Operating expenses Operating income Amount of Change (in millions) Percent of Change (round to 1 decimal place) Increase or Decrease 1. Revenue $fill in the blank 1 30,976 fill in the blank 2 % 2. Operating expenses fill in the blank 4 fill in the blank 5 3. Operating income fill in the blank 7 fill in the blank 8 b. During the recent year, revenue and operating expenses . As a result, operating income , from the prior year.

Answers

Answer:

Tarrow Corporation

a) Amount of change in millions and the percent of change:

Amount Percentage Direction

of Change of Change of Change

Revenue $30,972 8.7% Increase

Operating expenses 23,634 7.8% Increase

Operating income $7,338 13.8% Increase

b) During the recent year, revenue and operating expenses increased by 8.7% and 7.8% respectively. As a result, the operating income increased by 13.8%, from the prior year.

Explanation:

a) Data and Calculations:

Tarrow Corporation:

Recent Year Prior Year Change Percentage

Revenue $386,972 $356,000 $30,972 8.7% Increase

Operating expenses 326,634 303,000 23,634 7.8% Increase

Operating income $60,338 $53,000 $7,338 13.8% Increase

Hadrana corporation reports that at an activity level of 5,500 units, its total variable cost is $275,330 and its total fixed cost is $86,240. what would be the average fixed cost per unit at an activity level of 5,600 units? assume that this level of activity is within the relevant range.

Answers

Calculation of average fixed cost per unit at an activity level of 5,600 units:

The average fixed cost per unit can be calculated using the following formula:

Average Fixed cost Per unit = Total Fixed Cost / Number of Units

Total Fixed Cost at the level of 5,600 units is given $86,240

Hence, Average Fixed cost Per unit = 86240/5600 = $15.40

So, the average fixed cost per unit at an activity level of 5,600 units is $15.40

Two methods can be used to produce expansion anchors. Method A costs $65,000 initially and will have a $18,000 salvage value after 3 years. The operating cost with this method will be $28,000 in year 1, increasing by $3600 each year. Method B will have a first cost of $108,000, an operating cost of $8000 in year 1, increasing by $8000 each year, and a $38,000 salvage value after its 3-year life. At an interest rate of 8% per year, which method should be used on the basis of a present worth analysis

Answers

Answer:

Method B should be used

Explanation:

Note: See the attached excel file for the calculation of the present worth of Method A and Method B.

From the attached excel file, we have:

Present worth of Method A = –$210,889.85

Present worth of Method B = –$118,011.18

Since the present worth of Method A and B above imply Method A costs more than Method B, Method B should be used.

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