Zack received a gift of stock from his uncle on June 20 of the current year. Zack's uncle had a basis in the stock of $4,000, but the fair market value of the stock on June 20 was only $1,500. Zack held the stock for three months and then sold it for $1,200. What basis in the stock will Zack use to determine his gain or loss on the sale of the stock?

Answers

Answer 1

Answer:

$4,000

Explanation:

Answer 2

Answer:

The answer is $1500

Explanation:

Since the FMV is lower than the original cost of the gift the dual basis would take place.


Related Questions

Mr. Liang, a wealthy businessman who made his fortune in the oil industry, understands the importance of a college education, so he has donated over $10 million over the last several years to colleges and universities. Mr. Liang's actions are an example of ___________.a. philanthropy.
b. sustainability.
c. servant leadership.
d. social responsibility
e. corporate governance.

Answers

Answer:A. Philanthropy

Explanation: Philanthropy is a private initiative aimed at the general good of the public, it is in contrast to the main main of business which is majorly to make profits.

Most philanthropic Organisation in the world help to better the lives of the community or environment where they are or the world at large.

Most philanthropist give out a part of their wealth in terms of money,ideas,resources to enhance and promote the public good.

Look at Armenia. The money supply growth rate and the average rate of inflation are 120%. If the growth rate in real GDP was 80%, the percent change in velocity would be

Answers

Answer:

80%

Explanation:

As per the Quantity Theory of Money,

Inflation rate + growth rate of real GDP = Money supply growth rate + Growth rate of velocity

So, The percentage change in velocity is

= Average rate of inflation + growth rate in real GDP - money supply growth rate

= 120% + 80% - 120%

= 80%

As the Growth rate of velocity  equals to the percentage change in velocity

Techilex delivers timber directly to furniture manufacturers. The company takes legal possession of the timber it distributes. The company doesn't physically process timber but it facilitates timber's safe delivery to the clients. In this scenario, Techilex is a(n) __________.

Answers

Answer:

The correct answer is drop shipper.

Explanation:

Drop shipping can be defined as one of the supply chain management method where the vendor does not stock any product.

In drop shipping when a vendor gets any order from the customer, the vendor forwards it to the third party for order fulfillment and then ships the product directly from the third party to the customer by the name of the vendor.

According to the scenario, techilex does not store any product but only facilitates delivery for the products shows the drop shipping type of business.

when the "invisible hand" guides economic activity, prices of products reflect______________.

a) only the costs to society of producing those products
b) both the values that society places on those products and the costs to society of producing those products
c) only the values that society places on those products
d) none of the above; when the "invisible hand" guides economic activity, prices of products are set by the government in a manner that is though to be "fair"

Answers

Answer:

b) both the values that society places on those products and the costs to society of producing those products 

Explanation:

When the "invisible hand" guides economic activity, prices are known as equilibrium prices.

Equilibrium price is found where the demand curve intersects with the supply curve .

Equilibrium price is the price where both the value that society places on those products and the costs to society of producing those products are equal.

I hope my answer helps you

Stewart grants Julie a security interest in 500 shares of stock in his company in exchange for a loan. Stewart makes his loan payments on time, and his business is growing and successful. When the loan is nearly repaid, Stewart is in a car accident and is unable to work for a few months. He could sell his company were it not encumbered by Julie's security interest. Julie: a. must abide by the original terms; once a financing statement is filed, it is permanent until it is fully paid according to the filing. b. may require Stewart to accelerate his payments because of her insecurity about his ability to pay her. c. may release her interest in the stock by filing an amendment. d. may request an accounting from Stewart.

Answers

Answer:

The answer is C. may release her interest in the stock by filing an amendment.

Explanation:

Prior to the 1997 federal tobacco settlement a pack of cigarettes sold for $2.48. The terms of the settlement required a decrease in teenage smoking of 60 percent. If the elasticity of cigarette demand for teenagers is about 1.3 then the price of cigarettes should rise to __________ in order to achieve the target reduction of 60 percent.

Answers

Answer:

$3.62

Explanation:

Elasticity of demand = percentage change in quantity demanded/ percentage change in price

1.3 = 60% / percentage change in price

Percentage change in price = 60/1.3

=46.15%

Price has to rise by 46.15% or 0.4615

0.4615 = (x - 2.48) / 2.48

1.14 = x - 2.48

X = 3.62

Price has to rise to $3.62 to achieve a 60% reduction.

I hope my answer helps you

Final answer:

To achieve a 60 percent reduction in teenage smoking with an elasticity of 1.3, cigarette prices should rise by approximately 46.15 percent, from $2.48 to about $3.62.

Explanation:

The question revolves around the concept of price elasticity of demand and how it affects consumption, particularly regarding teens' cigarette use. To achieve a 60 percent reduction in teenage smoking, the requirement can be translated into mathematical terms using the elasticity formula, which is percentage change in quantity demanded divided by percentage change in price. With an elasticity of 1.3, to reduce smoking by 60 percent, the formula implies that price must increase by 60 percent divided by 1.3 (the elasticity), resulting in approximately a 46.15 percent price increase.

Starting with the base price of $2.48, increasing it by 46.15 percent means adding about $1.14 to the original price. Therefore, the new price would be approximately $3.62 after rounding to the nearest cent.

Bessie is at the grocery store and is trying to remember some of the things she needs to buy. She is in the cleaning products aisle looking at the floor cleaning products. She's pretty sure she has another bottle left at home, so she doesn't purchase another. Bessie's perception of her current situation regarding this product reflects her ____.A. current stateB. desired stateC. actual stateD. self-conceptE. self-assessment

Answers

Answer:

C. Actual state

Explanation:

The perception consumers form of a product, affects their buying decision.

Desired state refers to in what way a consumer desires to satisfy his needs and wants.

The actual state of perception refers to how actually consumers satisfy their needs and wants.

In the given case, Bessie's actual state refers to an already satisfied need or want. In this case, the need for cleaning bottle has already been satisfied as has been perceived by Bessie at the grocery store.

This refers to the case of actual state of perception.

Initial margin requirements are determined by:________
a. the Securities and Exchange Commission.
b. the Federal Reserve System.
c. the New York Stock Exchange.
d. B and C.
e. A and B

Answers

Answer:

b. the Federal Reserve System.

Explanation:

Initial margin refers to the deposit made by an investor with a broker, in order to open a margin account. The purpose of initial margin is security and collateral to ensure enough availability of cash in the trading account of the investor.

For instance an investor wants to purchase 4000 shares priced at 15$. In this case, he is supposed to deposit 50% of $60,000 i.e $30,000. The remaining $30,000 is contributed by the brokerage firm, regarded as borrowings on which the investor pays interest.

The initial margin limit is fixed by the Federal Reserve System.

Which of the following refers to the​ collection, deployment, and interpretation of information that allows a business to​ acquire, develop, and retain its​ customers? A. Market intelligence system B. Neuromarketing C. ​Reverse-engineering D. Database E. Customer insights

Answers

Answer:

A

Explanation:

Market Intelligence System is a business analytics tool. What it does is that it analyses business data obtained from various sources- Customers, Competitors, supply chain, stores etc.

The data obtained is used to make necessary inferences all with an intent to retain, develop or acquire its customers.

A customer insight, or consumer insight on the other hand is an interpretation of trends in human behaviors which aims to increase the effectiveness of a product or service for the consumer, as well as increase sales for the financial benefit of those provisioning the product or service

Database is completely out of it as it is just a structured set of data held in a computer, especially one that is accessible in various ways.

A company reported monthly revenues of $ 315,000 and expenses of $ 100,000. What is the result of operations for the​ month? In order to calculate the operations for the month we must compute net income or net loss. Begin by determining the equation to compute net income or​ loss, then enter the amounts to solve for the operations for the month.

Answers

Answer:

The result of the operation of for the month is Net Income of $215,000.

Explanation:

Values Reported as follows

Revenues = $ 315,000

Expenses = $ 100,000

Equation to compute net income or​ loss:

In case if Total Revenue is higher than the Total Expenses the net result will be as Income and Total Expenses is higher than the Total Revenue the net result will be as Loss.

Net Income / Net Loss =  Total Revenue -  Total Expenses

Calculations:

Net Income / Net Loss =  $315,000 - $100,000

Net Income = $215,000

So the result of the operation of for the month is Net Income of $215,000.

A. calculate some key profitability, activity, leverage, liquidity and market ratios for apple and blackberry over time

Answers

Answer:

B. as they will have the same common business activity to their competitors

Explanation:

Gross Profit Margin = (Revenue – Cost of Goods Sold) / Revenue*100%

Net Profit Margin = PAT / Revenue * 100%

The EBITDA is calculated by adding back interest expense, taxes, depreciation & amortization expense to net profit or PAT. Then, the EBITDA margin is calculated by dividing the EBITDA by the sales revenue and is expressed in terms of percentage.

The outcomes of democratic leadership include:
a. Greater group satisfaction, commitment, and cohesiveness
b. More friendliness, mutual praise, and group-mindedness Less efficiency
c. All of the above
d. A and B only

Answers

Answer:

c. All of the above

Explanation:

Democratic leadership refers to the kind of leadership wherein the leader is open to constructive ideas from subordinates.

For example, while formulating policies which relate to workers working in the factory, the leader may discuss with workers and inquire of their views and suggestions.

This kind of leadership imbibes a sense of belonging among employees which acts as a motivation to work towards attainment of organizational goals.

At the same time such an activity would lead to a greater satisfaction in the group, better commitment and cohesiveness or synchronization of activities.

Also the environment turns more amiable with scope for mutual praise and group mindedness.

U.S.-based Centra Corporation is hesitant about entering into a licensing agreement with Fission, Inc., a company from another nation, due to the likelihood that Fission will break a contract or expropriate property rights. What specific type of risk is Centra Corporation trying to avoid?

Answers

Answer:

Legal Risk

Explanation:

Legal Risk refers to a type of damage to the company that can occurred due to an issue with the law.

In the excerpt above, we know that Centra corporation has the fear that Fission will break a contract or expropriate property rights..

- A break a contract is a for of issue with the law that could potentially make Central unable to obtain its fair share of profit from the operation

- Exporpriate Property right is a type of legal Risk that can occurs if the law in foreign country force the company to give the ownership of that peoperty right to the government.

There are several key elements that should be done when using performance information to identify potential problems, specifically where sales people need to improve for better performance in the future. Check ALL that should be done: a. evaluate salespeople against relevant performance criteria. b. compare salesperson evaluations to identify problem areas. c. investigate problem areas to identify causes of performance problems. d. report problem areas to top management. e. determine sales management actions to eliminate causes of future problems and to solve existing problems.

Answers

Answer: Performance Management strategies for Effective Sales Management

Explanation: All  the answers given are correct for better performance and Sales management.

If the optimal forecast of the return on a security exceeds the equilibrium return, then _______.A. the market is inefficient. B. an unexploited profit opportunity exists. C. the market is in equilibrium. D. only A and B of the above are true. E. only B and C of the above are true.

Answers

Answer:

D. only A and B of the above are true.

A. the market is inefficient. B. an unexploited profit opportunity exists.

Explanation:

In simple words, this question is asking why the optimal return or best possible return of an investment is actually higher than the real market return. Generally this can be explained by opportunity costs and profits, or maybe even market inefficiencies caused by external factors (e.g. taxes).

In economics, efficient companies operating in competitive markets will always have 0 economic profit in the long run, that means that the company has maximized its accounting profits and there is no other alternative investment that can provide the same returns.

The same concept applies here, when you maximize your potential returns, it means that there is no other security or investment should yield the same returns. If your returns are actually, it only means that you are missing an opportunity profit (by investing in some other security) or some type of market inefficiency or external factor has decreased the actual return of your investment.

In the context of managerial accounting, the relevant information is information that
a. has been provided by the controller.
b. must be analyzed by the chief financial officer before being provided to managers.
c. must be provided in quantitative terms.
d. is information that will make a difference in the decision.

Answers

Answer:

d. is information that will make a difference in the decision.

Explanation:

In managerial accounting we have to work to make decision more easy thus, we cannot overflow with redundant or unncessary information. We have to only make use and present in our report information that will change the decision if presented.

For example, for freight cost the sales commision is not relevant.

The use of index funds as investment vehicles for asset classes:_________
I. increases market risk
II. reduces market risk
III. increases the standard deviation of return
IV. reduces the standard deviation of return

Answers

Answer:

I & IV

Explanation:

Using index funds range as funding automobiles for asset instructions is I. will increase marketplace threat.

An index funds range is a type of investment car aiming to match the returns of a particular market index. investing in an index price range can help investors diversify a portfolio and build wealth at a low value.

Index funds Are Passive Investments Managers of actively managed mutual funds try and outperform a benchmark index. as an example, an actively managed fund that measures its performance in opposition to the S&P 500 could try to exceed the yearly returns of that index through diverse trading techniques.

Index funds are funding funds that observe a benchmark index, which includes the S&P 500 or the Nasdaq hundred. when you positioned money in an index fund, that money is then used to spend money on all the agencies that make up the precise index, which gives you a greater numerous portfolio than if you were shopping for personal stocks.

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The price elasticity of demand for Stork ice cream is - 4. Suppose you're told that following a price increase, quantity demanded fell by 10 percent. What was the percentage change in price that brought about this change in quantity demanded?

Answers

Answer:

40

Explanation:

10*4

Final answer:

The price elasticity of demand indicates how much the quantity demanded changes when there is a change in price. For Stork ice cream, a 10% decrease in quantity demanded implies a 2.5% increase in price, given its price elasticity of -4.

Explanation:

The price elasticity of demand is a measure of how much the quantity demanded of a product changes when there is a change in its price. In this case, Stork ice cream has a price elasticity of demand of -4. This means that for every 1 percent increase in price, the quantity demanded falls by 4 percent. If the quantity demanded fell by 10 percent, this implies that the price of the Stork ice cream must have increased by 2.5 percent.

To find this, we can use the formula for price elasticity of demand: Percentage change in quantity demanded / Percentage change in price = -4. By transposing the equation, we can find that the Percentage change in price = Percentage change in quantity demanded / -4. Hence, -10% / -4 = 2.5%.

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Which of the following refers to the process of​ collecting, analyzing, and interpreting data about​ customers, competitors, and the business environment in order to improve marketing​ effectiveness? A. Dashboarding B. Reverse engineering C. Custom research D. Market research E. Syndicated research

Answers

Answer:

d.  Market research

Explanation:

Market research -

It is one of the important step for the organisation ,

In this process , the information and data is collected , analysed and interpreted with respect to the customers reviews or feedback .

This step helps to enhance the production , sale and marketing of the goods and services the company produces , which in turn increases the profit earned by the company .

Hence , from the given information of the question ,

The correct option is  d.  Market research .

Sofia, a restaurant manager, has been observing and analyzing the work process of the cooks, servers, and bussers because she would like to increase their productivity of employees. Sofia is engaging in ____ management.

a. quantitative
b. contingency
c. systems
d. administrative
e. scientific

Answers

Answer:

E) scientific

Explanation:

Scientific management was developed by Frederick Taylor and is part of the classical management approach. The whole purpose of scientific management is to improve efficiency manly through time and motion studies.

The production processes are studied in order to determine what is the most efficient way of doing them. Sofia was analyzing her employees' tasks to see if their were doing them correctly and efficiently. The time and motion studies are used to reduce the time it takes to finish a task, and the faster a task is finished, more tasks can be done.

Trimble Graphic Design receives $1,800 from a client billed in a previous month for services provided. Which of the following general journal entries will Trimble Graphic Design make to record this transaction?

Answers

Answer:

Explanation:

The journal entry is presented below:

Cash A/c Dr $1,800

   To Accounts receivable A/c $1,800

(Being the cash is received)

Since the cash is received so we debited the cash account and there is a decrease in account receivable so this account should be credited. Both the accounts are recorded at $1,800 each.

Delwazic Inc. is a multinational corporation (MNC) that creates products specialized for a few host countries. It manufactures berets in France, cowboy hats in the United States, bowlers in the United Kingdom, and bush hats in Australia. In this scenario, Delwazic Inc. is most likely a(n) ________.

Answers

Answer:

Delwazic Inc. is a multinational corporation (MNC) that creates products specialized for a few host countries. It manufactures berets in France, cowboy hats in the United States, bowlers in the United Kingdom, and bush hats in Australia. In this scenario, Delwazic Inc. is most likely a monopolist

Explanation:

A monopolist is solely responsible for sales of products to many buyers, such market is termed a monopoly market

The act that requires certain companies to set up confidential systems so that "red flags" can be raised about suspected illegal and unethical business practices is called the:_______

Answers

Answer:

Sarbanes–Oxley Act

Explanation:

Sarbanes – Oxley Act -

It refers to the act , which helps to save the investors , by improving the reliability and the accuracy of the corporate disclosures , is referred to as Sarbanes – Oxley Act  .

It is also known as Corporate and Auditing Accountability, Responsibility, and Transparency Act ,  "Public Company Accounting Reform and Investor Protection Act" .

Hence , from the given information of the question ,

The correct option is Sarbanes–Oxley Act .

as a speaker, the best way to utilize the lectern during your speech is to

Answers

Answer:

use when your speech has notes.

Explanation:

A lectern is reading desk that is a tall stand with a sliding top to hold a book or notes.

Therefore, the best way to utilize the lectern during speech is to read notes while standing up and to rest ones hands on it when not making gestures. An example of this is seen when a President is giving a speech, he often uses a lectern.

Answer:

If you have an answer choice that says "None of the above," that is correct

Explanation:

In order to use evidence discovered during an inventory search, a police department must have a ________ criteria for doing inventory searches, like written general orders of established routines.

Answers

Answer:

standardized

Explanation:

standardized criteria refers to a set of procedure that already vetted and approved by a trusted establishment. This type of criteria will be used by experts to measure their work result.

The way polices search for evidence must follow a standardized criteria which created by the police department.

They require the polices to do so to ensure that the polices do not breach any ethical standard during the evidence search and do not overlook important findings for the case.

Marginal analysis studies how individuals decide: a. whether to go to college. b. whether to live on the margin of society. c. how much down payment to make when buying stocks. d. whether to do a bit more of an activity versus a bit less of it.

Answers

Answer:

Correct option is (d)

Explanation:

Marginal analysis is a decision making tool used by managers to identify if an additional effort on an activity or incurring additional cost would be beneficial or yield more profits.

In other words, individuals decide on the basis of marginal analysis whether to work more or a activity or not based on the outcome. If the outcome is profitable, then the individual would choose to work harder and vice versa.

A location analysis has been narrowed down to two locations, Akron and Boston. The main factors in the decision will be the supply of raw materials, which has a weight of .50, transportation cost, which has a weight of .40, and labor cost, which has a weight of .10. The scores for raw materials, transportation, and labor are for Akron 60, 80, and 70, respectively; for Boston 70, 50, and 90, respectively. Given this information and a minimum acceptable composite score of 75, we can say that the manager should:

be indifferent between these locations
a.choose Akron
b.choose Boston
c.reject both locations
d.build a plant in both cities

Answers

A choose Akron because 75 can b. Between 60 and 80
A choose Akron because it can be between 60

When a scientific study on the harmful effects of a particular food preservative was published, Ultimo Foods, a popular potato chips producer, stopped using preservatives in its potato chips. This change significantly reduced the shelf life of the chips even though there were no customer complaints about Ultimo Foods' products. This is an example of a(n) _____.

Answers

Answer:

proactive strategy

Explanation:

Proactive strategies are continuous interventions aimed at reducing the probability of some disadvantageous actions occuring. It is preventive and typically deals with the preceding circumstances.

Final answer:

The action of Ultimo Foods is an instance of a precautionary measure where changes were implemented to prevent perceived harm despite no customer complaints.

Explanation:

The scenario described, where a company like Ultimo Foods changes its product composition in response to a scientific study (regardless of there being no customer complaints), demonstrates an example of a precautionary measure. This is a business strategy action taken in advance to prevent potential adverse effects or to mitigate the impact of potential crises.

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Boyd Co. produces and sells aviation equipment. On the first day of its fiscal year, Boyd issued $90,000,000 of five-year, 8% bonds at a market (effective) interest rate of 10%, with interest payable semi annually. Compute the following, presenting figures used in your computations.

a.The amount of cash proceeds from the sale of the bonds. Use the tables of present values in Exhibits 4 & 5. Round to the nearest dollar.
b.The amount of discount to be amortized for the first semiannual interest payment period, using the interest method. Round to the nearest dollar.
c.The amount of discount to be amortized for the second semiannual interest payment period, using the interest method. Round to the nearest dollar.
d.The amount of the bond interest expense for the first year.

Answers

Answer:

a) Proceeds $83,050,438.56

b) discount amortization(first payment)

83,050,438.56 x 0.05 = 4,152,521.93

- 90,000,000 x 0.04  =  3,600,000

amortization 552,512.93

ending carrying value

83,050,438.56 + 552,512.93 = 83,602,96

c)  discount amortization(second payment)

83,602,96 x 0.05 =    4,180,148.02

less cash outlay of   3,600,000

amortization             580,148.02

d) total interest expense for the first year

4,152,521.93 June + 4,180,148.02 Dec = 8,332,669.95

Explanation:

We solve for the present value of the bond by discount the coupon payment and maturity at the market rate:

[tex]C \times \frac{1-(1+r)^{-time} }{rate} = PV\\[/tex]

C 3,600,000.000

time 10

rate 0.05

[tex]3600000 \times \frac{1-(1+0.05)^{-10} }{0.05} = PV\\[/tex]

PV $27,798,245.7451

[tex]\frac{Maturity}{(1 + rate)^{time} } = PV[/tex]  

Maturity   90,000,000.00

time   10.00

rate  0.05

[tex]\frac{90000000}{(1 + 0.05)^{10} } = PV[/tex]  

PV   55,252,192.82

PV c $27,798,245.7451

PV m  $55,252,192.8187

Total $83,050,438.5637

"There is a house that a licensee from Firm A has been trying for several weeks to list for sale. The owners have been interviewing licensees from different firms. They tell A's licensee that Firm B will charge 2% less commission for selling the house. What should A's licensee say to the owner to get the listing?

Answers

Answer:

A provides excellent services to market their seller's properties.

Explanation:

The owner of the house has been exploring other options and got Firm B who are offering to sell the property for 2% less commission. In this case Firm A's only option is to highlight a competitive advantage they have over other firms and that is - they provide excellent service for marketing the seller's property.

Most times clients want results and can actually pay higher if there is a guarantee that a firm can deliver on the task assigned.

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