Boulder Company reports current E&P of $500,000 this year and accumulated negative E&P at the beginning of the year of $200,000. Boulder distributed $400,000 to its sole shareholder on December 31 of this year. How much of the distribution is treated as a dividend this year?

Answers

Answer 1

Answer:

Answer:

$400,000

Explanation:

Distribution for a particular year will be first drawn for the earning and profits for that year. Distributions will be treated as dividends if the earnings and profits in the current year are positive, regardless of whether the accumulated balance is negative.

Boulder had positive earnings and profits of $500,000. It has distributions of $400,000, which will be drawn from the earning from the current earnings. This distribution will be dividends because they can be satisfied with the current earnings.

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You supply a good at a price of $5. You also earn a profit at this price. This means that your marginal cost could be

Answers

The answer is less than $5.
You supply a good at a price of $5. You also earn a profit at this price. This means that your marginal cost could be less than $5.

>>Marginal cost refers to the cost of the next unit or one additional unit of volume or output.

Professional Properties is considering remodeling the office building it leases to Heartland Insurance. The remodeling costs are estimated at $3.4 million. If the building is remodeled, Heartland Insurance has agreed to pay an additional $820,000 a year in rent for the next 5 years. The discount rate is 15 percent. What is the benefit of the remodeling project to Professional Properties?

Answers

Answer:

- $651,234.54

Explanation:

Data provided in the question:

Cost of remodeling = $3.4 million = $3,400,000

Rent paid each year = $820,000

Duration, n = 5 years

Discount rate, r = 15% = 0.15

Now,

Present value of the amount rent paid each year = A × $\left[ (1-(1+r)^(-n))/(r) \right]$

Here,

A = Rent paid each year

Thus,

Present value of the amount rent paid each year

= $820,000 × $\left[ (1-(1+0.15)^(-5))/(0.15) \right]$

= $820,000 × 3.352153

= $2,748,765.46

Therefore,

Benefit = Present value of the amount rent paid - Cost of remodeling

= $2,748,765.46 - $3,400,000

= - $651,234.54

When would someone be restricted from filing for bankruptcy?
A.if the debtor fails the asset test
B.if the debtor fails the income-liability test
C.if the debtor fails the credit-overloadtest
D. if the debtor fails the means test

Answers

Someone will be restricted to file for bankruptcy when the debtor fails the income- liability test. An income-liability test is when you will be able to pay your debt from your income. When income does not pay your liability to the bank, you will be restricted to file bankruptcy to your business.

The correct answer is D

If Pepsi is analyzing all of its competitors, Pepsi is considering _______________ in its SWOT analysis.

Answers

CocaColaaaaaaaaaaaaaaaaa

What type of cost remains the same per unit at every level of activity?

Answers

Answer:

A variable cost

Explanation:

A variable cost remains the same per unit at every level of activity.

I hope this helps.

Outsourcing value chain activities has such strategy-executing advantages as(A) less internal bureaucracy, speedier decision-making, quicker responses to changing market conditions, and heightened focus on performing a select few value chain activities (which can improve performance of those activities).(B) facilitating the empowerment of employees (because there are less things to do internally).(C) promoting a total quality management culture.(D) reducing the need to establish a strongly implanted corporate culture.(E) reducing the strategic importance of building valuable core competencies.

Answers

Answer:

The correct answer is "a"

Explanation:

Outsourcing value chain activities has such strategy-executing advantages as less internal bureaucracy, speedier decision-making, quicker responses to changing market conditions, and heightened focus on performing a select few value chain activities (which can improve performance of those activities).

Outsourcing is a business method in which a company contracts an outside supplier to obtain goods and services. To reduce possible internal bureaucracy.

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