Answer:
Nicole has profit $400 ....,.............
Answer:
A. Stockholders equity at the end is $493,000.
B. Closing total assets is $865,000.
C. Closing liability is $410,000.
Explanation:
A. Closing total assets:
= Opening assets + increase in assets
= $845,000 + $177,000
= $1,022,000
Closing liability:
= Opening liability - Decrease in liability
= $600,000 - $71,000
= $529,000
Closing equity:
= Closing assets - Closing liability
= $1,022,000 - $529,000
= $493,000
B. Opening equity:
= Opening assets - Opening liability
= $845,000 - $600,000
= $245,000
Closing assets:
= Opening assets + increase in liability - Decrease in equity
= $845,000 + $92,000 - $72,000
= $865,000
C. Closing liability:
= Opening liability - decrease in assets - increase in equity
= $600,000 - $90,000 - $100,000
= $410,000
Answer:
I'm not sure what this question is about, but the concept of the income expenditures model and its components is the following:
In the income (or aggregate) expenditures model, its author (Keynes) established certain assumptions in order to analyze how the economy works as a whole. His assumptions included that investment, government spending and net exports were all independent from income level.
When the economy is at equilibrium, total expenditures (GDP) = income level = consumption + government + investment + net exports
Another important assumptions are:
- marginal propensity to consume (MPC) + marginal propensity to save (MPS) = 1
- consumption = autonomous consumption + [MPC x (total income level - taxes)]
Savings = investment increase when disposable income increases or real GDP increases.
This model is used to explain the relationship between labor and production levels, and how they are affected by the economy's total expenditures. By increasing expenditures, the demand for labor and products/services will increase.
Answer:
1) AGI = $112,400
2) Taxable Income = $80,600
Explanation:
Ed's Salary = $35,000
Jane's Salary = $70,000
Municipal bond interest income = $400
Qualified business income = $1,000
Alimony paid (for AGI deduction) = $7,000
Real property tax (from AGI deduction) = $10,000
Charitable contributions (from AGI) = $15,000
The total gross income for Jane and Ed = $70,000 + $35,000 = $105,000
1) Their AGI (Adjusted Gross Income) = $105,000 + $400 + $7,000 = $112,400
2)Their taxable income = $112,400 - $24400 - $7000 - $400 = $80,600