Reference no: EM131288403
Ron and Gail are going to invest some of their $$$$ for two years from January 1 2016 to December 31, 2017
Use 2016 rates, etc. for both 2016 and 2017. they are married filling joint.
Their taxable income without any return is $200,000.
They will invest 55,180 for two years...leaving investment to grow for those two years
Land will appreciate at 2.5% per year
Property taxes will be $2,300 per year
They will rent it as a pasture for $2,867 per year.
Show the net return given in 2017 considering expenses, annual compounding of interest/appreciation, timing of income and of tax payment, and tax rates. Incorporate 2016 net income and net costs into the answers to see true net return.
|
Calculate total stockholders equity at the end of the year
: Total assets were $24,000 and total liabilities were $13,500 at the beginning of the year. Net income for the year was $4,000, and dividends of $1,500 were declared and paid during the year. Calculate total stockholders' equity at the end of the year..
|
|
Carrying value of the bonds on the balance sheet
: On January 1, 2015, Jack Co. issued three $100,000, 6%, bond payables that mature in 5 years. Straight line depreciation is used. Bond interest expense in the Income Statement at December 31. Carrying Value of the Bonds on the Balance Sheet at Decemb..
|
|
Benefit of variable costing for internal reporting purposes
: A benefit of variable costing for internal reporting purposes is that it:
|
|
Why are accountants valuable to the organization
: As a new controller, reply to this comment by a manager. “As I see it, our accountants may be needed to keep records for shareholders and Uncle Sam, but I don’t want them sticking their noses in my day-to-day operations. I do the best I know how. No ..
|
|
Timing of income and of tax payment and tax rates
: Ron and Gail are going to invest some of their $$$$ for two years from January 1 2016 to December 31, 2017. Show the net return given in 2017 considering expenses, annual compounding of interest/appreciation, timing of income and of tax payment, and ..
|
|
The functional currency
: USAco, a domestic corporation, sells widgets in the United States. USAco has a French subsidiary, FRANco, which sell widgets only in France. FRANco is paid in euros for 90% of its sales, and is paid in British pounds for the remaining 10% of its sale..
|
|
Produces memory enhancement kits for fax machines
: Faxmatic, Inc., produces memory enhancement kits for fax machines. Sales have been very erratic, with some months showing a profit and some months showing a loss. Compute the company's CM ratio and its break-even point in both units and dollars. Refe..
|
|
Make entry to record sales taxes payable and sales revenue
: Coghlan Auto Supply does not segregate sales and sales taxes at the time of sale. The register total for March 16 is $34,100. All sales are subject to a 10% sales tax. Make the entry to record sales taxes payable and sales revenue.
|
|
Responsible for turnaround in its financial performances
: In 1995, Global Oil Corporation’s Marketing and Refining (M&R) Division was the 5th largest US refiner with 7,700 Global-branded service stations selling about 23 million gallons per day, or 7% of the nation’s gasoline. Critically evaluate M&R’s impl..
|