An employee asks you what benefit a Roth 401K has over a traditional 401K. What should you tell her?

Answers

Answer 1

Answer:

the withdrawals you make in retirement are tax-free.

Explanation:


Related Questions

Apple Inc. stock analysis using technical method

Answers

Using technical analysis, Apple Inc.'s stock price movements can be analyzed using charts, indicators, and trends to identify patterns and make predictions about future price movements based on historical market data.

In a
statistical relationships between data are calculated and compared
to industry averages.
OA. horizontal analysis
OB. cash flow analysis
C. ratio analysis
D. vertical analysis

Answers

The statistical relationships between data are calculated and compared to industry averages refers to ratio analysis (option C).

Ratio analysis involves the calculation and comparison of various financial ratios to evaluate the financial health and performance of a company. These ratios can be used to compare a company's performance to industry averages and identify areas where the company is performing well or needs improvement.

Horizontal analysis (option A) involves comparing financial statements over time to identify changes and trends.

Cash flow analysis (option B) involves analyzing a company's cash inflows and outflows to determine its ability to generate cash and meet its financial obligations.

Vertical analysis (option D) involves analyzing a company's financial statements to determine the proportion of each line item in relation to a base item, such as revenue.

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TarHeel Corporation reported pretax book income of $1,010,000. During the current year, the net reserve for warranties increased by $100,500. In addition, tax depreciation exceeded book depreciation by $202,500. Finally, TarHeel subtracted a dividends received deduction of $52,000 in computing its current year taxable income. TarHeel accounting effective tax rate is:

Answer : 19.92% The effective tax rate is the hypothetical tax rate (21 percent) adjusted for the tax cost or benefit from permanent differences. In this example, the dividends received deduction reduces the effective tax rate by 1.08118 percent ($52,000 × 21 percent = $10,920 / $1,010,000). 21-1.08118=19.918% or rounded to 19.92%

Answers

Tar Heel accounting successful tax rate is 17.7%

The Effective Tax Rate is determined by separating all government and state annual duty costs by Pre-tax income.

So we should compute the assessment cost and afterward partition it by the Pre-tax income.

To compute the Assessment pay we will do the accompanying,

= Pre-tax  pay + expansion in net guarantee save (available) - Overabundance Assessment Deterioration Cost - Profits got (not to be burdened)

= $1,010,000 + $100,500 - $202,500 - $52,000

= $856,000

The available pay is thusly $856,000.

The charge rate is 21% so the assessment cost is,

=$856,500 * 0.21

= $179,760

We will currently isolate the charge Cost by the Pre-charge pay to find the Powerful Duty Rate.

= $179,760 / $1,010,000

= 0.177

= 17.7%

Tar Heel's bookkeeping successful assessment rate is 17.7%

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6. Choose a well-known company that you are familiar with, and explain how that company could use each of the five P's of the marketing mix to achieve its brand image and sales goals. (1-8 sentences. 5.0 points)HELP

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The general example of how a company could use the five P's of the marketing mix to achieve its brand image and sales goals.

The marketing mix refers to a set of tools and strategies that a company uses to promote its products or services to its target market.

The company could use each of the five P's of the marketing mix:

1. Product: The company could offer a wide range of products to the target market's preferences and needs.

2. Price: The company could use a pricing strategy that emphasizes the high-quality of its products.

3. Place: The company could distribute its products through various channels, such as online retail platforms, etc.

4. Promotion: The company could use various promotion strategies to build brand awareness and attract customers.

5. People: The company could employ knowledgeable, and helpful staff who can provide expert advice and the benefits of using their products.

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How easily an investment can be exchanged for cash is known as what

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The ease with which an investment can be exchanged for cash is known as liquidity.

1. Identify the type of leadership style.
Focusses on people's needs and building relationships.

2. Identify the type of leadership style.
Focuses on building participation and support for a shared purpose.

3. Identify the type of leadership style.
Focuses on minimum effort to get work done.

4. Identify the type of leadership style.
Focuses on the efficiency of tasks and operations.

Answers

1. The type of leadership style described is a Relationship-Oriented Leadership style.

2. The type of leadership style described is a Democratic Leadership style.

3. The type of leadership style described is a Laissez-Faire Leadership style.

4. The type of leadership style described is a Task-Oriented Leadership style.

Answer:

Relationship-oriented leadership style

Transformational leadership style

Laissez-faire leadership style

Task-oriented or transactional leadership style

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6. The Fisher effect and the cost of unexpected inflation
Suppose the nominal interest rate on savings accounts is 11% per year, and both actual and expected inflation are equal to 6%.
Complete the first row of the table by filling in the expected real interest rate and the actual real interest rate before any change in the money supply.
Time Period
Before increase in MS
Immediately after increase
in MS
Nominal Interest
Rate
(Percent)
11
11
Expected
Inflation
(Percent)
6
Actual
Inflation
(Percent)
6
10
The unanticipated change in inflation arbitrarily harms
Expected Real Interest
Rate
(Percent)
Actual Real Interest
Rate
(Percent)
Now suppose the Fed unexpectedly increases the growth rate of the money supply, causing the inflation rate to rise unexpectedly from 6% to 10% per
year.
Complete the second row of the table by filling in the expected and actual real interest rates on savings accounts immediately after the increase in
the money supply (MS).
Now consider the long-run impact of the change in money growth and inflation. According to the Fisher effect, as expectations adjust to the new,
%per year.
higher inflation rate, the nominal interest rate will to

Answers

Time Period
Before increase in MS
Immediately after increase in MS
Nominal Interest Rate (Percent)
11
11
Expected Inflation (Percent)
6
6
Actual Inflation (Percent)
6
10
Expected Real Interest Rate (Percent)
5
1
Actual Real Interest Rate (Percent)
5
1

The unanticipated change in inflation arbitrarily harms savers who anticipated a 5% after-tax real interest rate but receive only 1% after the increase in the money supply. In the long run, the Fisher effect suggests that the nominal interest rate will increase by the same amount as the increase in expected inflation, so the nominal interest rate will increase from 11% to 15%.

Question 5 (1 point)
According to McEwan (2015), _________ suggests the closer people are, the more
channels they use to communicate with each other.
Weak ties
Interstices
Multiplexity
Augmented flesh meet

Answers

Answer:

According to McEwan (2015), "multiplexity" refers to the idea that the closer people are, the more channels they use to communicate with each other.

Explanation:

This implies that as a relationship gets deeper and more personal, more aspects or "multiplexities" are involved.

These could include emotional closeness, experiencing things together, and communicating frequently over a variety of platforms, such as in-person interactions, phone conversations, texts, and social media.

Relationships then become more intricate and multidimensional, which increases the likelihood of misunderstandings and disputes. However, because it enables a deeper comprehension and connection to emerge between them, multiplexity can also result in more enjoyment and better ties between people.

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To respond to the challenges of shortages of personal protection equipment (PPE) during the covid 19 pandemic, Ford motor company of Southern Africa (FMCSA) set up a completely new entity and commenced production of 57000 protective a face shields the strategy adopted by FMCSA to produce PPE during the pandemic is known as

Answers

To respond to the challenges of shortages of personal protection equipment (PPE) during the COVID-19 pandemic, Ford Motor Company of Southern Africa (FMCSA) set up a completely new entity and commenced production of 57000 protective a face shields the strategy adopted by FMCSA to produce PPE during the pandemic is known as to ease critical shortages.

The COVID-19 epidemic has significantly raised the need for PPE, which has resulted in PPE shortages, which is providing a major challenge to the American healthcare system.

FMCSA purchasing and distributing PPE, such as ventilators and other essential tools, the United States government has been active. In order to plan and maximize the usage of PPE in response to COVID-19, healthcare facilities might employ a burn rate calculator.

As a result, the significance of the challenges of shortages of personal protection equipment are the aforementioned.

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how might a workers emotional state lead to an accident on the job

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An employee's emotional state can have a significant impact on their job performance and potentially lead to accidents in the workplace.

Distraction: If an employee is feeling anxious, angry, or upset, they may be more prone to distraction and have difficulty focusing on their job.

Impaired decision-making: Negative emotions can impair an employee's decision-making ability. If they are feeling overwhelmed or stressed, they may not be able to think clearly and make sound judgments.

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3. What is Fraud? explain using examples.​

Answers

Fraud is where a person is financially cheated by another person. Examples of fraud include identity theft, phishing, counterfeit, and tax evasion.

Answer:

Fraud is a deliberate deception to secure unfair or unlawful gain, or to deprive a victim of a legal right. It involves lying, misrepresentation, or other forms of deceit for personal or financial gain. Examples of fraud include:

1. Investment fraud: This involves tricking people into investing in a fraudulent scheme, promising high returns on investment that do not exist. One example of this is the Bernie Madoff scandal, in which investors lost billions of dollars in a Ponzi scheme.

2. Identity theft: This involves stealing personal information, such as a social security number, to access financial accounts and commit fraud. For example, a scammer may use stolen identity information to open a credit card account in someone else's name and make unauthorized purchases.

3. Insurance fraud: This involves filing false insurance claims to receive benefits or compensation. For example, a person may fake an injury to collect workers' compensation benefits, or they may stage a car accident to collect insurance money.

4. Credit card fraud: This involves using someone else's credit card information to make unauthorized purchases. For example, a thief may steal a credit card number and use it to buy goods or services online.

5. Healthcare fraud: This involves billing for unnecessary medical services or charging for services that were not provided. For example, a healthcare provider may bill for a service that was never performed, or prescribe unnecessary treatments to increase profits.

Overall, fraud is a serious crime that can have severe consequences for victims and perpetrators alike. It is important to be aware of the different types of fraud and take steps to protect yourself from falling victim to fraudulent schemes.

Explanation:

When coverage is provided under the Additional Coverages of Section II of a Homeowners policy, payments are

Answers

Under section 2 of additional coverages of Homeowners policy, the payments provided are

Claim expensesFirst aid expensesDamage coverageLoss assessment chargesLiability for damage to third personDamage to property of others ( $1000)

Section II (liability coverage) of a homeowners insurance policy provides protection under three coverages.

Coverage E (Personal Liability) coverage in the event that a claim is launched against the insured for physical injury or property damage caused by the insured's acts or inactions.

It deals with numerous fees and coverages that people must pay.

Therefore, w hen coverage is provided under the Additional Coverages of Section II of a Homeowners policy, payments that are made is explained.

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Suppose a monopolist’s profit-maximizing output is 400 units per week and that the firm sells its output at a price of $100 per unit. The firm has total costs of $8,000 per week. Assume the monopolist is maximizing its profit and earns $50 per unit from the sale of the last unit produced each week

Answers

Answer:

To find the monopolist's profit, we need to first calculate the total revenue, total cost, and total profit:

Total revenue = price x quantity = $100 x 400 = $40,000

Total cost = fixed cost + variable cost = $8,000 + (400 - 1) x $50 = $22,950

Note that the variable cost per unit is not given, but we can assume that it is constant and equal to $50 per unit, and that the last unit sold also has a variable cost of $50.

Total profit = total revenue - total cost = $40,000 - $22,950 = $17,050

Therefore, the monopolist's profit is $17,050 per week.

Explanation:

On a timeline, a goal that will be achieved in ____ years will be to the left of one that will be achieved in ____ years.
A. 9; 6
B. 6; 3
C. 9; 3
D. 6; 9

Answers

On a timeline, a goal that will be achieved in __6__ years will be to the left of one that will be achieved in __9__ years.

Whewn will the goal be acheived?

By considering a timeline, the goals and events that will be completed in a larger duration are arranged further to the right, whereas those with a lesser duration of time will be placed on the nearer left side.

Hence, an objective that needs six years for accomplishment must be set off before one that needs nine years for fulfilliment. Accordingly, answer D is the sole option wherein the first number (6) lies earlier than the second number (9).

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On January 1, 2025, Coronado Inc. had cash and common stock of $60,530. At that date, the company had no other asset, liability.or stockholders' equity balances. On January 2, 2025, it purchased for cash $20.760 of debt securities that it classified as available-for- sale. It received interest of $4,100 during the year on these securities. In addition, it has an unrealized holding gain on these securities of $5,190 net of tax Determine the following amounts for 2025: (a) net income, (b) comprehensive income, Id other comprehensive income, and (d) accumulated other comprehensive income (end of 2025). (a) Net income (b) Comprehensive income Other comprehensive income (d) Accumulated other comprehensive income $

Answers

According to the information, the net income is $9,290, the complehesive income is $14,480, other comprehensive income is $5,190, and accumulated other comprehensive income is $5,190.

How to calculate Net income?

To calculate net income, we need to consider the interest income and the unrealized holding gain on the debt securities.

Interest income: $4,100Unrealized holding gain (net of tax): $5,190Total income: $9,290

The company did not have any expenses during the year, so the net income is equal to the total income; net income = $9,290

How to calculate the Comprehensive income?

Comprehensive income includes both net income and other comprehensive income (OCI). In this case, the OCI is the unrealized holding gain on the debt securities.

Comprehensive income = Net income + Other comprehensive incomeComprehensive income = $9,290 + $5,190Comprehensive income = $14,480How to calculate other comprehensive income?

To calculate other comprehensive income we have to consider the change in OCI from the beginning to the end of the period. In this case, the OCI at the beginning of the period was zero, and the OCI at the end of the period was $5,190 net of tax.

Other comprehensive income = $5,190

How to calculate accumulated other comprehensive income?

To calculate accumulated other comprehensive income we have to consider the total amount of OCI that has been recognized in previous periods and is now reported in the balance sheet. In this case, the company had no OCI before the current period, so the accumulated other comprehensive income at the end of 2025 is equal to the OCI at the end of 2025; accumulated other comprehensive income (end of 2025) = $5,190

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You plan to invest in one of the most profitable securities. The total of your investment is RM20,000. Given the below information.
State of the economy Probability of the states

Cash flow from the investment
Investment XY Investment ZZ
Economic recession 30% RM5,000 11,000
Moderate economic growth 40% RM12,000 12,000
Strong economic growth 30% RM19,000 13,000

a. From the data above, measure the return and risk of each investment. Which investment should be accepted? Justify your answer.

Answers

To measure the return and risk of each investment, we need to calculate the expected return and standard deviation for each investment.

Investment XY:

Expected return = (0.3 x 5000) + (0.4 x 12000) + (0.3 x 19000) = 11400

Standard deviation = sqrt(((0.3 x (5000-11400)^2) + (0.4 x (12000-11400)^2) + (0.3 x (19000-11400)^2))/2) = 4311.46

Investment ZZ:

Expected return = (0.3 x 11000) + (0.4 x 12000) + (0.3 x 13000) = 12000

Standard deviation = sqrt(((0.3 x (11000-12000)^2) + (0.4 x (12000-12000)^2) + (0.3 x (13000-12000)^2))/2) = 1000

Justification:

Investment ZZ has an expected return of RM12,000, which is higher than investment XY's expected return of RM11,400. Additionally, investment ZZ has a lower standard deviation of RM1,000 compared to investment XY's standard deviation of RM4,311.46. This means that investment ZZ is less risky than investment XY, making it a better investment choice.

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To generate new leads for business, Gustin Investment Services offers free financial planning seminars at major hotels in Southwest Florida. Gustin conducts seminars for groups of 25 individuals. Each seminar costs Gustin $3500, and the average first-year commission for each new account opened is $5000. Gustin estimates that for each individual attending the seminar, there is a 0.01 probability that he/she will open a new account. a. Determine the equation for computing Gustin's profit per seminar, given values of the relevant parameters. b. What type of random variable is the number of new accounts opened

Answers

Answer:

a. The equation for computing Gustin's profit per seminar can be expressed as follows:

Profit = (Commission per new account * Number of new accounts) - Cost per seminar

Profit = ($5000 * 0.01 * 25) - $3500

Profit = $125 - $3500

Profit = -$3375

Therefore, Gustin is expected to lose $3375 per seminar.

b. The number of new accounts opened is a binomial random variable, as it has a fixed number of trials (25 individuals attending the seminar), and each trial (individual) has a binary outcome (either opening a new account or not).

Explanation:

Which of the following statements regarding equity is not true?
A. It includes the retained earnings of the entity
B. It is increased by profit
C. It can be increased by additional contributions by the owners
D. It is defined independently of assets and liabilities

Answers

Hi, I'd be happy to help with your question about equity.

The statement that is not true regarding equity is:

D. It is defined independently of assets and liabilities.

Equity is calculated as the difference between a company's assets and liabilities. The other statements (A, B, and C) are true. Equity includes the entity's retained earnings, is increased by profit, and can be increased by additional contributions by the owners.

On the PPC graph above, what do points A, B, and C have in common?

Answers

A, B, and C have the shifting of resources for use in the production of other goods

What is a PPC graph?

PPC (Production Possibility Curve) or PFF (Production Possiblity Frontier) is a graphical display that elucidates the idea of opportunity cost; meaning to create more of one object, some level of production of another must be sacrificed.

In this graph, the capability to make two separate items will be featured on both X & Y-axes, while the line delineates the maximum combinations of those given goods that can be likewise produced using all available means and cutting-edge knowhow.

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Bruckner Trusses wants to predict future operating costs and has learned that a cost equation can be derived using historical information. Bruckner’s Comptroller has gathered the following monthly operating costs from 2021 and her perceived understanding of what drives those costs follow each cost:
Month Maintenance Costs Machine Hours Health Insurance Number of Employees Shipping Costs Units Shipped
January $4,510 170 $8,570 63 $28,240 7,060
February $4,473 110 $8,570 73 $32,920 8,230
March $4,660 239 $8,570 89 $31,600 7,900
April $4,870 304 $8,570 102 $25,760 6,440
May $5,120 459 $8,570 84 $23,760 5,940
June $4,745 285 $8,570 85 $36,960 9,240
July $4,927 338 $8,570 88 $34,800 8,700
August $4,916 363 $8,570 80 $33,720 8,430
September $5,055 429 $8,570 90 $26,960 6,740
October $5,226 476 $8,570 101 $28,440 7,110
November $5,370 500 $8,570 91 $22,000 5,500
December $4,795 281 $8,570 101 $38,400 9,600
Required:
1. Which of the preceding costs is variable? Fixed? Mixed? Explain.
2. For any mixed or variable costs, plot those costs and determine if there is a cause-and-effect relationship with its perceived driver.
2. Using the high-low method, determine the cost function for each cost.
3. Combine the preceding information to get a monthly operating cost function for the Smith Corporation.
4. Next month, Smith expects to use 350 machine hours, have 90 employees, and ship 8,600 units. Estimate the total operating cost for the month.

Answers

1) Looking at the given data, maintenance costs, machine hours, shipping costs, and units shipped are variable costs.  

2) Plotting the variable costs against their perceived drivers can help identify whether there is a cause-and-effect relationship between them.

1) The cost that varies based on changes in the level of activity is called a variable cost. Fixed costs remain constant regardless of the level of production or activity. Mixed costs contain elements of both variable and fixed costs like health insurance and shipping costs may be mixed costs as they have some fixed costs, such as salaries and rent, but also variable costs, such as insurance claims and shipping fees.

2) The Comptroller has identified four costs as variable, and it would be appropriate to plot these costs against their perceived drivers to determine if there is a cause-and-effect relationship. For example, maintenance costs could be plotted against machine hours, and shipping costs could be plotted against units shipped. If a strong correlation is found, it would suggest that these drivers have a direct impact on the costs. This would enable Bruckner Trusses to forecast costs more accurately and adjust production levels accordingly.

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The complete question is:

Bruckner Trusses wants to predict future operating costs and has learned that a cost equation can be derived using historical information. Bruckner’s Comptroller has gathered the following monthly operating costs from 2021 and her perceived understanding of what drives those costs follow each cost:

Required:

1. Which of the preceding costs is variable? Fixed? Mixed? Explain.

2. For any mixed or variable costs, plot those costs and determine if there is a cause-and-effect relationship with its perceived driver.

(Create an advertising plan)
Product: Cheetos Country: Australia
- Message and Creative Strategy: What information needs to be delivered to the target audience?

Answers

The message and creative strategy for Cheetos in Australia should focus on introducing the product and its unique features to the target audience.

It should highlight the delicious, cheesy flavor and the fun and crunchy texture of the snack. The message should also emphasize the convenience and portability of Cheetos, making it a perfect snack for on-the-go or as a quick treat in Australia.

Additionally,Cheetos the creative strategy should aim to create a fun and playful brand image that resonates with the target audience, possibly through engaging social media campaigns or partnerships with popular influencers Australia.

Overall, the message should convey the irresistible taste and convenience of Cheetos while appealing to the playful and fun-loving nature of the Australian market.

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8. Inflation-induced tax distortions
Dmitri receives a portion of his income from his holdings of interest-bearing U.S. government bonds. The bonds offer a real interest rate of 4.5% per
year. The nominal interest rate on the bonds adjusts automatically to account for the inflation rate.
The government taxes nominal interest income at a rate of 10%. The following table shows two scenarios: a low-inflation scenario and a high-
inflation scenario.
Given the real interest rate of 4.5% per year, find the nominal interest rate on Dmitri's bonds, the after-tax nominal interest rate, and the after-tax
real interest rate under each inflation scenario.
Inflation Rate Real Interest Rate Nominal Interest Rate After-Tax Nominal Interest Rate After-Tax Real Interest Rate
(Percent)
(Percent)
(Percent)
(Percent)
(Percent)
3.0
4.5
9.5
4.5
Compared with lower inflation rates, a higher inflation rate will
nominal interest income. This tends to
the economy's long-run growth rate.
saving, thereby
the after-tax real interest rate when the government taxes
the quantity of investment in the economy and

Answers

Based on the table, we know that the real interest rate on Dmitri's bonds is 4.5%. Since the nominal interest rate on the bonds adjusts automatically to account for the inflation rate, we can use the real interest rate to calculate the nominal interest rate as follows:

Nominal interest rate = Real interest rate + Inflation rate

1. Low-inflation scenario (3% inflation rate):
Nominal interest rate = 4.5% + 3% = 7.5%
After-tax nominal interest rate = 7.5% - 10% = -2.5% (negative value because the tax rate is higher than the nominal interest rate)
After-tax real interest rate = -2.5% - 3% = -5.5%

2. High-inflation scenario (9.5% inflation rate):
Nominal interest rate = 4.5% + 9.5% = 14%
After-tax nominal interest rate = 14% - 10% = 4%
After-tax real interest rate = 4% - 9.5% = -5.5%

Compared with lower inflation rates, a higher inflation rate will reduce the after-tax real interest rate when the government taxes nominal interest income. This tends to decrease the quantity of investment in the economy and saving, thereby lowering the economy's long-run growth rate.

Robert has always enjoyed working on cars as a hobby. He feels that he could earn a good living if he opened a mechanics shop. He does not have any startup money at this time, and he does not really know how to get started. Which business organization is best and why? How will he overcome his dilemmas?

Answers

There are several business organizations that Robert could consider when starting his mechanics shop. Each has its own advantages and disadvantages, so it is important for Robert to carefully consider which one is best suited for his needs.The first option is a sole proprietorship. This is the simplest and most common form of business organization, where the business is owned and operated by a single individual. The advantages of a sole proprietorship are that it is easy to set up and maintain, there are no separate taxes or legal requirements, and the owner has complete control over the business. However, the disadvantages are that the owner is personally liable for all debts and obligations of the business, and it may be difficult to raise capital or expand the business.Another option is a partnership, where two or more individuals own and operate the business together. The advantages of a partnership are that it is easy to set up and maintain, there is shared responsibility and workload, and it may be easier to raise capital than with a sole proprietorship. However, the disadvantages are that each partner is personally liable for all debts and obligations of the business, there may be disagreements between partners, and it may be difficult to dissolve the partnership if necessary.A third option is a limited liability company (LLC), which combines elements of both a partnership and a corporation. The advantages of an LLC are that it provides limited liability protection for its owners, there are fewer formalities required than with a corporation, and profits and losses can be passed through to individual tax returns. However, the disadvantages are that it can be more expensive to set up and maintain than a sole proprietorship or partnership, there may be restrictions on ownership transferability, and there may be additional taxes or legal requirements.In Robert's case, an LLC may be the best option as it provides limited liability protection while still allowing him to have control over his business. To overcome his dilemma of not having startup money, Robert could consider taking out a small business loan or seeking funding from investors. He could also start small by offering his services as a mobile mechanic or working out of his home garage until he can afford to rent or purchase a physical location for his shop.In conclusion, Robert should carefully consider the advantages and disadvantages of each business organization before deciding which one is best suited for his needs. An LLC may be the best option for him, but he will need to find a way to secure startup funding in order to get his business off the ground.

60,000 respectively in their Capital Accounts as on 1st January, 2016.
A introduced a further capital of Rs. 10,000 on 1st April, 2016 and another Rs. 5,000 on 1st July, 2016. On 30th September, 2016 A withdrew Rs. 40,000.
On 1st July, 2016, B introduced further capital of Rs. 30,000.
The partners drew the following amounts in anticipation of profit.
A drew Rs. 1,000 per month at the end of each month beginning from January, 2016. B drew Rs. 1,000 on 30th June, and Rs. 5,000 on 30th September, 2016.
% p.a. interest on capital is allowable and 10% p.a. interest on drawings is chargeable. Date of closing 31.12.2016. Calculate: (a) Profit-sharing ratio; (b) Interest on capital; and (c) Interest on drawings

Answers

Answer:

(a) Profit-sharing ratio:

To calculate the profit-sharing ratio, we need to know the total interest on capital and the total interest on drawings for both partners.

Total interest on capital for A = Rs. 37.50 (25 + 12.50)

Total interest on capital for B = Rs. 625

Total interest on drawings for A = Rs. 33.33

Total interest on drawings for B = Rs. 48.34 (6.67 + 41.67)

Total profit for the year = Rs. (1175 + 90625) - (385 + 54993.33) - (37.50 + 625 + 33.33 + 48.34) = Rs. 811.50

Profit-sharing ratio for A = (1175 - 385 - 37.50 - 33.33) / 811.50 = 0.476 = 47.6%

Profit-sharing ratio for B = (90625 - 54993.33 - 625 - 48.34) / 811.50 = 0.524 = 52.4%

Then the profit-sharing ratio is 47.6:52.4.

(b) Interest on capital:

Interest on capital for A = Rs. 37.50

Interest on capital for B = Rs. 625
(c) Calculation of interest on drawings:

A has drawn a total of Rs. 8,000 (Rs. 1,000 x 8 months) and B has drawn a total of Rs. 6,000 (Rs. 1,000 + Rs. 5,000) during the year. The interest on drawings will be calculated as follows:

A: 8,000 x 10% x 12/12 = Rs. 800

B: 6,000 x 10% x 6/12 = Rs. 300

then, the total interest on drawings is Rs. 1,100.

(d) Calculation of net profit:

The net profit for the year is calculated as follows:

Net profit = Gross profit - Interest on capital - Interest on drawings

Net profit = Rs. 55,000 - Rs. 4,500 - Rs. 1,100 = Rs. 49,400

(e) Calculation of profit-sharing ratio:

Since the interest on capital and drawings has been accounted for, the remaining profit of Rs. 49,400 will be shared between the partners in their profit-sharing ratio. The total capital of the partners as on 31st December, 2016 is Rs. 1,00,000 (Rs. 60,000 + Rs. 40,000 for A, and Rs. 60,000 for B) plus the additional capital introduced during the year.

A has introduced additional capital of Rs. 15,000 (Rs. 10,000 on 1st April and Rs. 5,000 on 1st July) and has withdrawn Rs. 40,000 during the year. Therefore, A's total capital at the end of the year is:

60,000 + 15,000 - 40,000 = Rs. 35,000

B has introduced additional capital of Rs. 30,000 during the year. Therefore, B's total capital at the end of the year is:

60,000 + 30,000 = Rs. 90,000

The profit-sharing ratio is:

A:B = 35,000:90,000 = 7:18

Then, A's share of the profit is:

7/25 x 49,400 = Rs. 13,888

And B's share of the profit is:

18/25 x 49,400 = Rs. 35,512

Therefore, the profit-sharing ratio between A and B is 7:18 and their respective shares of the profit are Rs. 13,888 and Rs. 35,512, respectively.

1. Identify the type of control.
“Can you tell me what needs to be done before we start?”

2. Identify the type of control.
“What can we do right now to change things?”

3. Identify the type of control.
“Now that we are finished, how well did we do?”

Answers

1. Preaction control
2. Concurrent control
3. Feedback control

Bengal remitted (paid) the cash withheld for all payroll tax liabilities to the appropriate government agency (paying cash withheld from November's pay, cash withheld from December's pay, and November & December's FICA matching requirements.

Answers

Here's the journal entry for Bengal's remittance of payroll tax liabilities:

Debit:

Payroll tax expenses (FICA taxes and employee income taxes) - $2,350

Credit:

Cash - $2,350

Note: This entry reflects the payment of the cash withheld for all payroll tax liabilities, including FICA taxes and employee income taxes, for both November and December.

Which best describes how consumers may benefit from specialization?
Consumers can only purchase high-quality goods.
Consumers have more price options.
O Consumers receive more sale offers.
O Consumers find products at lower prices.

Answers

In specialization a company have produced the product at different price levels. Consumers have more price options.

What is consumer?

A consumer is a person who purchases the goods and or services from the business and is also the ultimate user of the products or services. In specialization the company produces a certain product at many different levels by which they have many price options available which vary according to their customization and quality that can be offered to the consumers and hence the customer can purchase different types of a single product from a single company or Brand.

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Please help me asap


Can you fill out the table based on the information below and explain how to?

​​​​​​​

Answers

To set up a table based on information provided in a spreadsheet, follow the instructions below:

The Steps

Initiate by launching the spreadsheet and then selecting the desired data to be included within the table.

Make it portable by copying the particular piece of data through CTRL+C or Command +C for MAC users.

Subsequently, open any fresh sheet or document to begin working with.

Generate a table via clicking "Insert" option followed by choosing an alternative named “Table,” or accomplish this process using shortcut keys.

Once done, paste the previously copied insertion into newly created tables suing command+V or Ctrl+v.

Organize the columns width while implementing formatting techniques wherever necessary.

It's recommended that one double-checks the table initially formed to guarantee precise transfer of all details from the spreadsheet.

Rinse and repeat these steps as required to create additional tables based on supplied information from spreadsheets.

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We can see here that based on the given information, the table can be filled out as follows:

price indicator    subject          price indicator*        Weight        Total        

                           company      subject company     assigned     amount

                           amount           amount                   to each

                                                                                 indicated

                                                                                    item

mivic to sales     true               810                           640               2.42

mivic to

discretionary

earnings            true              264                           0.79            

mivic to sales    false             1112                           0.28

What is a price indicator?

A price indicator is a metric used to reveal details regarding the cost or worth of a specific good or service.

mivic to discretionary earnings

false

0

mivic to sales

true

900

0.74

mivic to discretionary earnings

true

224

2.99

mivic to sales

true

251

0.40

mivic to discretionary earnings

true

22

3.68

mivic to sales

true

371

0.32

mivic to discretionary earnings

true

3

49

We can see here that the "price indicator" column actually indicates the calculation is based on "mivic to sales" or "mivic to discretionary earnings".

Then the "subject company amount" column is seen as the relevant amount from the subject company for the calculation.

The "price indicator*subject company amount" column is seen as the product of the price indicator and subject company amount.

The "Weight assigned to each indicated item" column is actually seen as the thing that indicates the weight assigned to each item in the calculation.

The "total amount" column is the result of multiplying the price indicator*subject company amount with the weight assigned to each indicated item.

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Discuss the effect of diversification in the portfolio to the risk return of the investment.

Answers

Diversification reduces the risk of an investment portfolio by spreading investments across different assets and can stabilize returns, leading to a more balanced risk-return profile.

Diversification is an investment strategy aimed at reducing risk by spreading investments across different assets. The theory behind diversification is that by investing in a range of assets, the investor can reduce the risk associated with any single asset.

Diversification can help to mitigate risk and stabilize returns by reducing the impact of market volatility on the portfolio. By investing in assets that are not highly correlated, the portfolio is less likely to be affected by sharp declines in any one asset class. This helps to reduce the risk of the portfolio and create a more stable investment return over the long term.

However, diversification is not a guarantee against loss, and some investments may still suffer losses. It is important to balance the level of diversification in the portfolio with the investment objectives, risk tolerance, and other factors.

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By overallocating the larger company vision and goals across the company, you
Select an answer:
a) end up encouraging employees to create goals that oppose your company vision
b) all of these answers
c) increase the likelihood of actually achieving those goals
d) decrease the likelihood of achieving those goals​

Answers

Answer:

c) increase the likelihood of actually achieving those goals

Explanation:

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