fierce, co. holds $50,000 in debt securities. on december 31, interest earned equals $1,500. the journal entry to record interest earned includes a debit to
Answers
Interest Receivable. Interest earned refers to the amount of interest income a company has earned but not yet received. Interest earned on debt securities is typically reported as interest receivable and is credited to interest revenue when the amount is received.
Interest receivable is a temporary account that is used to keep track of the interest revenue that has been earned but not yet received. It appears as an asset on the balance sheet because the company expects to receive the interest payment in the future. As a result, the journal entry to record interest earned includes a debit to Interest Receivable. Here's the journal entry to record interest earned on
December 31:
Interest Receivable 1,500
Interest Revenue 1,500
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Related Questions
According to the fdic community banks have less than what in assets than most cases
Answers
According to the FDIC, community banks have less than $ 10 million in assets in most cases.
An asset refers to economic or financial bonds that can act as benefits and rewards in the future. A community bank refers to a banking institution that is locally owned and looked over. It is not an official banking system. The local community looks after the finance, transactions, and loans.
FDIC stands for Federal Deposit Insurance Corporation. It looks after the supply of insurance deposits and looks after the safety and security of the deposits. This institution works with two agencies- American depository institutions and the National Credit Union Administration.
According to the definitions created by FDIC, any bank containing less than $ 10 million in assets is known as a community bank.
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Question 7 of 10
Both term life and whole life insurance policies:
A. Cover the policyholder's long-term health and disability expenses.
B. Pay money to beneficiaries upon the policyholder's death.
C. Earn interest on the amount of the policy.
O D. Have a maximum term of 40 years.
SUBMIT
Answers
The insurance policies of term life and whole life insurance policies only pay money to beneficiaries upon the policyholder's death.
What is a term life and whole life insurance policies?A term life assurance is a life policy for a limited period while the whole life assurance is a life policy for life.
The correct statement is that insurance policies of term life and whole life insurance policies only pay money to beneficiaries upon the policyholder's death.
Therefore, the Option B is correct.
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A real estate company is estimating the average property value in a coastal resort community. Data were randomly collected from 18 properties and the 99% confidence interval for the mean was calculated to be ($2,181,260, $5,836,180). What would happen to the confidence interval if the confidence level were changed to 95%?
The interval would get wider.
It is impossible to tell until the 90% interval is constructed.
There would be no change in the width of the interval.
The interval would get narrower.
Answers
If the confidence level is changed from 99% to 95%, the confidence interval for the mean property value in the coastal resort community would get narrower.
When the confidence level is increased, the corresponding confidence interval becomes wider to capture a larger range of possible values. Conversely, when the confidence level is decreased, the confidence interval becomes narrower as it needs to cover a smaller range of values.
In this case, the confidence interval was calculated at a 99% confidence level, resulting in a relatively wide interval ($2,181,260, $5,836,180). If the confidence level is changed to 95%, the interval would become narrower. This means that the range of possible values for the average property value would be more restricted, providing a more precise estimate.
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victims of identity theft can request a credit freeze.
Answers
Answer:
True
Explanation:
People can use the victims credit card
The statement, "victims of identity theft can request a credit freeze" is true.
A credit freeze is a recognized and widely utilized measure to protect oneself from further identity theft-related harm.
By requesting a credit freeze, individuals can restrict access to their credit reports, reducing the risk of unauthorized accounts being opened in their name.
This measure serves as a preventive barrier, making it more difficult for identity thieves to exploit the stolen information.
Additionally, credit freezes are legally supported and regulated in many jurisdictions, providing victims with the right to request and implement this safeguard.
Thus, it is a recommended step in the aftermath of identity theft incidents to enhance security and regain control over personal financial information.
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Project: Pet Grooming Website
You have a pet grooming business and want to create a new website. You want the website to have a video of your office, some pictures of your dog groomers, some testimonials from clients, a list of your prices, a description of your services, and a place to buy gift certificates or pre-pay for services. You want the site to use your color scheme, which is brown and black.
You decide to use a web development company. When you make the appointment, the receptionist tells you that you will meet with their project manager.
When you meet the project manager, she asks you for a good bit of detailed information. You decide that your budget will be $50,000. The project manager believes this will be a good budget because it will cost $20,000 for the web developer, $10,000 for the graphic artist, $5,000 for the photographer, $5,000 for the web hosting service, $5,000 to make the video, and $5,000 for various other expenses.
She explains that you will need to provide them with a list of clients that would be willing to participate as examples or provide testimonials. She warns you that they may expect to be paid for their participation and that there will need to be legal releases signed. She says that this will need to be done first.
Then, they will have the video company make the video and the photographer take the pictures. After this, the graphic artist can put together something for the web developer to create. All in all, the project should take about a month to complete.
Assignment
You will create a project plan document. The document will not be highly detailed. The information provided in the scenario above will be enough to create the document. You may have to guess or make up some of the details. You will not be graded on the accuracy of the details; instead, you will be graded on the project plan and your ability to structure it correctly and include the sections as described in the lesson. Make sure to give each section the proper heading and to write out your descriptions in complete sentences. The exception to this is when you create the project budget. You may do this in chart or column forma HELP
Answers
The planning of this project must have several stages, in general they can be classified as planning, execution and review.
What is planning?Planning is a term that refers to the decision-making process to achieve a specific objective taking into account the current situation and the internal and external factors that may influence the achievement of the objectives.
According to the above, planning would be the first process because in this we are going to draw a route of action in which we are going to specify all the tasks prior to the realization of the web page. This stage includes activities such as:
Interview with clients.Photos of services and products.Information gathering.Establishment of dates and objectives.In the execution stage, the creators of the page begin to work on the design and publication of the page, including all the information previously collected.
In the review stage, the entire team reviews whether the objectives set are being achieved and the necessary corrections are made.
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economics is the study of the people make to attain their goals, given their resources.
a. true
b. false
Answers
b. false Economics is the study of how individuals, households, firms, and societies allocate scarce resources to satisfy their unlimited wants and needs. It involves the analysis of production, distribution, and consumption of goods and services.
Economics focuses on understanding how individuals and societies make choices to allocate resources efficiently and effectively to achieve their goals. While goals and resource allocation are important components of economics, it is not limited to just that. Economics also encompasses the study of market behavior, price determination, economic systems, government policies, and the overall functioning of the economy. It is a broad field that examines various aspects of human behavior and decision-making in relation to the allocation of resources. It involves the analysis of production.
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if there is a 20 year, 10% rate of return with 0 initial investment, $100 annual investment, expected inflation rate of 5%, how much money will i lose when accounting for inflation?
Answers
If a 20-year investment has a 10% rate of return, $100 is invested annually, and inflation is predicted to be 5%, then $12104.52 will be lost due to inflation.
A broad increase in the cost of goods and services across an economy is referred to as inflation. Each unit of currency may purchase fewer products and services as the general price level rises, hence inflation is associated with a decline in the purchasing power of money.
Annual Payment A = $500
r = 10%
n = 20 years
The FV of the annuity will be zero if there is no inflation.
FV = A * [(1+r)ⁿ⁻¹) / r
FV = 500 * [(1 + 10%)²⁰⁻¹) / 10%
FV = $28637.50 ---- (1)
The real rate of return is r if inflation is 5%. = 10% - 5% = 5%
then the annuity's FV
FV = A * [(1+r)ⁿ⁻¹] / r
FV = 500 * [(1 + 5%)²⁰⁻¹] / 5%
FV = $16532.98 ---- (2)
We discovered from equations 1 and 2 that
Therefore, The money I'll waste on inflationary accounting = 28637.50 - 16532.98 = $12104.52
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Sergio needs to reach his supervisor as soon as possible to make a decision about an important client who is threatening to take their business elsewhere if they do not get an immediate response. What is the MOST logical channel of communication for Sergio to use to contact his supervisor and why?
Answers
Answer: The most logical channel of communication for Sergio to use to contact his supervisor would be a phone call or an instant messaging service. This is because phone calls and instant messaging allow for immediate, real-time communication. Sergio needs to reach his supervisor as soon as possible to make a decision about an important client and these two channels of communication allow for the fastest and most direct form of communication. Email or text message may take longer for the supervisor to receive and respond to, which would not be ideal for Sergio's situation.
Explanation:
The development of a national market for goods and services within the united states was largely a result of ________.
Answers
Answer:
Improvements in transportation
Explanation:
:)
A(n) _____ strategy relies on the promotion of sales, during which prices are temporarily reduced to encourage purchases.
Answers
Low/high pricing. A high/low pricing strategy is an alternative to EDLP that depends on the marketing of sales, during which prices are momentarily lowered to attract purchases.
This is a typical marketing strategy employed by companies to draw clients and boost revenue. There are numerous different ways to do sales promotions, including discounts, coupons, rebates, free samples, competitions, sweepstakes, and loyalty plans. A sales promotion's objective is to convince customers that they need to buy a good or service right away by providing them with a particular discount or incentive. The abbreviation "Everyday Low Prices" is EDLP. Retailers who continuously charge cheap rates for their goods and don't rely on sales or promotions to get customers utilize this pricing approach. Customers will value the consistently cheap pricing and grow devoted to the shop, according to the EDLP theory. Walmart, which made its living by providing everyday low prices, popularized EDLP. The drawback is that, particularly if they are up against other merchants who are employing various pricing techniques, it can be challenging for retailers to maintain low prices on all of their items.
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The above question is incomplete. The complete question is given below-
A(n) _____ strategy relies on the promotion of sales, during which prices are temporarily reduced to encourage purchases.
A. predatory pricing
B. high/low pricing
C. cost-based pricing
D. EDLP
E. competitor-based pricing
Bramle Corporation has current assets of $1610000 and current liabilities of $840000. If they pay $341000 of their accounts payable what will their new current ratio be? 1.9:1 1.3:1 3.2:1 2.5:1
Answers
The new current ratio of Bramle Corporation is 1.51:1. Bramle Corporation's current assets and current liabilities are important financial metrics used to determine the company's ability to pay off its short-term obligations.
A high current ratio indicates that the company has enough current assets to pay off its current liabilities, while a low current ratio may indicate that the company may have difficulties meeting its short-term obligations.
In this scenario, Bramle Corporation has current assets of $1,610,000 and current liabilities of $840,000. Using this information, we can calculate the current ratio:
Current ratio = Current assets / Current liabilities
Current ratio = $1,610,000 / $840,000
Current ratio = 1.92:1
This means that for every dollar of current liabilities, Bramle Corporation has $1.92 of current assets. However, if the company pays off $341,000 of its accounts payable, we need to recalculate the current ratio:
New current assets = $1,610,000 - $341,000 = $1,269,000
New current ratio = New current assets / Current liabilities
New current ratio = $1,269,000 / $840,000
New current ratio = 1.51:1
This means that for every dollar of current liabilities, Bramle Corporation has $1.51 of current assets. Therefore, the new current ratio is 1.51:1, which is lower than the previous ratio of 1.92:1. This suggests that Bramle Corporation's ability to pay off its current liabilities has decreased due to the reduction in accounts payable.
However, it is important to note that a single financial ratio cannot be used to evaluate the overall financial health of a corporation. Other factors such as profitability, cash flow, and debt levels should also be considered.
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describe one procedure used when processing accounts.
Answers
- financial statements
Sharon contributed property to the newly formed QRST Partnership. The property had a $100,000 adjusted basis to Sharon and a $160,000 fair market value on the contribution date. The property was also encumbered by a $90,000 nonrecourse debt, which was transferred to the partnership on that date. Sharon is treated as a general partner. She is allocated 30% of QRST's profits and 20% of QRST's losses. Sharon's basis in the partnership interest after the formation transaction is:
Answers
Answer: $37000
Explanation:
Sharon's basis in the partnership interest after the formation transaction is calculated below:
Adjusted basis of property to Sharon = $100,000
Less: Basis in mortgage = $90000 × (100% - 30%) = $90000 × 70% = $63000
Then, Sharon's basis in the partnership interest after the formation transaction will be:
= $100000 - $63000
= $37000
The practice of making false statements about a property in order to lower its value and increase the buyer’s profit is called:
Answers
Answer:
Blockbusting
Explanation:
The practice of making false statements about a property in order to lower its value and increase the buyer’s profit is called Blockbusting. Blockbusting is the method of convincing landlords to sell estate cheaply, which was done by the U.S. property agents and construction developers and they do this by developing terror in the people that people with different racial and class will be soon relocating in the neighborhood and hence benefiting via reselling at a more expensive cost.
what is the shape of curve for all cooperative processes?
Answers
Cooperative processes can be described by a variety of different curves depending on the specific process in question. However, one general characteristic of cooperative processes is that they exhibit sigmoidal, or S-shaped, curves. This sigmoidal curve can be described mathematically by a logistic function, which is commonly used to model the growth of populations, the spread of disease, and the uptake of drugs or other substances.
The sigmoidal curve typically consists of an initial phase of slow growth, followed by a period of rapid growth, and then a final phase of saturation or plateau. This pattern reflects the fact that cooperative processes often require some threshold level of cooperation before they can start to take off, but once that threshold is reached, they can quickly accelerate and become self-reinforcing.
Examples of cooperative processes that exhibit sigmoidal curves include the formation of protein complexes, the spread of cultural memes, the adoption of new technologies, and the emergence of collective action in social movements. By understanding the shape of these curves and the underlying mechanisms that drive them, we can better predict and influence the behavior of complex systems in a wide range of fields.
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suppose that in the small town, prairie, there are only two cable providers. what type of market structure does the local cable market have?
Answers
Although there are fewer companies operating in oligopolistic markets, they do so on a massive scale.
What kind of market structure is cable television industry?The oligopoly market structure is exemplified by cable corporations like Comcast. There aren't many cable companies, and the services they provide to the public are often similar or hardly different. Because they imitate price reductions made by rival businesses, the companies are interdependent.In oligopoly markets, a limited number of suppliers control the market. They are present in every nation and a wide variety of industries.When a few big companies control all or most of the sales in an industry, oligopoly results. There are many industries that exhibit oligopoly, such as the auto sector, cable television, and commercial aviation.There is an oligopoly on the market for cable sports channels.No, the neighborhood cable provider is not used as an example of an industry with perfect competition. It is an illustration of an oligopoly firm, where there are few or no firms and none have any influence over the others.To Learn more About oligopoly markets Refer To:
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Suppose that you start off in long run equilibrium, where LRAS, SR, and AD meet altogether in one point. Explain what happens to price, real GDP, inflation, and unemployment in each of the following cases:
(a) The interest rate falls;
(b) Wage rate temporarily falls;
(c) The dollar appreciates relative to foreign currencies;
(d) Businesses temporarily expect higher resource prices in the future;
(e) Business taxes rise
Answers
(a) When the interest rate falls, it stimulates borrowing and investment, leading to an increase in aggregate demand (AD). As a result, both price levels and real GDP will rise. The increase in aggregate demand will lead to upward pressure on prices, causing inflation to increase. With increased investment and economic activity, unemployment is likely to decrease as businesses expand and create more job opportunities.
(b) If the wage rate temporarily falls, businesses' production costs decrease, leading to a decrease in their marginal cost (MC) and an increase in short-run aggregate supply (SRAS). As a result, both price levels and real GDP will increase. With lower production costs, businesses can lower their prices, which can lead to a decrease in inflation. However, the impact on unemployment depends on the elasticity of labor supply. If the wage decrease leads to a significant increase in labor supply, it could lead to an increase in employment and a decrease in unemployment.
(c) When the dollar appreciates relative to foreign currencies, it makes imports relatively cheaper and exports relatively more expensive. This leads to a decrease in net exports, reducing aggregate demand (AD). As a result, both price levels and real GDP will decrease. With decreased aggregate demand, inflation is likely to decrease. The decrease in economic activity can also lead to an increase in unemployment as businesses may reduce production and cut jobs.
(d) If businesses temporarily expect higher resource prices in the future, it can lead to an increase in their costs of production. This will result in a decrease in short-run aggregate supply (SRAS), leading to higher price levels and lower real GDP. With higher production costs, businesses may pass on the cost increases to consumers, leading to higher inflation. The impact on unemployment depends on the extent to which businesses adjust their production and hiring plans in response to the expected higher resource prices.
(e) When business taxes rise, it increases the cost of production for businesses. This leads to a decrease in short-run aggregate supply (SRAS), causing price levels to increase and real GDP to decrease. Higher production costs can lead to higher inflation as businesses pass on the tax burden to consumers. The increase in production costs may also result in businesses reducing their output and cutting jobs, leading to an increase in unemployment.
It's important to note that these are simplified explanations and the actual impact of these factors can be influenced by various other economic conditions and factors. Additionally, the magnitude and duration of the effects can vary depending on the specific circumstances and the overall state of the economy.
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what describes initial public offering?
Answers
Answer:
refers to the process of offering shares of a private corporation to the public in a new stock issuance. Public share issuance allows a company to raise capital from public investors.
Explanation:
A person performs a cost-benefit analysis in order to:
A. calculate the expenses of multiple businesses competing in the
same market.
B. evaluate the possible positive and negative effects of different
economic decisions.
C. analyze economic data to reach general conclusions about a
country's economy.
D. determine the tax rates a business will pay depending on its
profits in a year.
o
Answers
Answer:
B. evaluate the possible positive and negative effects of different economic decisions.
Explanation:
Cost-benefit analysis (CBA) is used to examine and compare the cost associated with a project or task and the benefits derived from it.
Simply stated, cost-benefit analysis is a form of utilitarianism commonly used by individuals, business firms and government in the decision-making process, as all the cost incurred are determined and analyzed.
This ultimately implies that, it may be used to determine how changes in differing levels of activities such as costs and volume affect a company's operating income and net income.
Cost-benefit analysis (CBA) sums the total cost associated with a project (activity) and compares this cost against the total benefits that would be generated. Thus, it helps in the decision-making process by comparing the net present value (NPV) of the cost of a particular project with the net present value (NPV) of its benefits.
Hence, a person performs a cost-benefit analysis in order to help him or her evaluate the possible positive and negative effects of different economic decisions with respect to an investment, project, activity, or programme.
solve the problem. a manufacturer estimates that the marginal cost of producing q units of a certain commodity is dollars per unit. if the cost of producing 10 units is $2000, what is the cost of producing 20 units? $4360 $972 $19,520 $7320
Answers
manufacturer estimates collection of approaches and instruments used to project the anticipated ultimate cost of a produced good is known as manufacturing cost estimation.
manufacturer estimates Important production decisions are based on the study, including which goods will be profitable, which suppliers are providing a fair price, and which present product offers need to be redesigned to remain cost-competitive. This analysis can take a variety of forms, from simple back-of-the-envelope math to a full, simulation-based cost management platform like aPriori. Manufacturing cost projections provide a crucial framework for related investigations like:
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Grace found herself in a breach of contract situation where the other party met some of the terms but not others. Grace thought it would cost a lot of time and money to sue, so she decided to accept the work that had been done and call it good. This is an example of ______.
Answers
Answer: accepting partial performance
Explanation:
From the question, we are informed that Grace found herself in a breach of contract situation where the other party met some of the terms but not others and she thought it would cost a lot of time and money to sue, so she decided to accept the work that had been done and call it good.
The above scenario is an example of accepting partial performance. This is a partial performance because there's a breach of contract as not all the terms that were involved are met.
Disadvantages of choosing a job that is extremely popular or in demand
Answers
The disadvantage of choosing a job that is very popular or a job that is in high demand is that after a while such a job may become saturated or it would become monotonous.
What is a high demand job?This is the term that is used to refer to a job that the people that wpould employ labor are constantly in need of. Such a job is one that would require the people that have the qualification to opt in and get the places and the roles that they are to fill.
The issues that may arise from such a job that is in high demand is that after a period, such a job may have a lot of persons that would want to fulfil the role.
The number of qualified persons may become more than the job that is available for the people to do in the long run.
Hence this is a disadvantage. Therefore I would conclude by saying that the disadvantage of choosing a highly popular job is that the number of persons that are willing to fulfil the role may exceed the job overtime.
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Which of these would be most likely to be included in CPI
Answers
Answer:
Frozen Pizzas
Explanation:
Info from the video:
"To calculate this index, the US Bureau of Labor Statistics uses a predetermined fixed basket of goods and services and averaging them together. The goods and services in this basket are developed from a survey of expenditures provided by individuals and families in a typical urban household."
Frozen pizza is an expenditure that could be bought by individuals and families in a household.
when should an event programing be used
Answers
Answer:
The utilization of the given topic is summarized throughout the below section.
Explanation:
Event-driven programming language shall be used if the software doesn't somehow monitor the sequential order of such occurrence.The software circulation or activity was mostly directly guided to an external mechanism like a consumer or client (e.g. a GUI), a whole other method (e.g. a customer or a server).Prepare a short report about the importance of hotel management.
Answers
Answer:
Having a hotel management degree can help you get a lucrative entry position in food or beverage service, accounts, restaurant service, executive housekeeping, marketing, or other departments within a hotel
In the long run, increasing the national debt will cause which of these?
A) higher tax revenue
B) an increase in jobs
C) higher interest rates
D) an increase in production
Answers
If choose all that apply I think a,b,and c
And employer has three employees who are each paid a salary of $1250 per month. He wants to give each of the three employees a $125 per month raise and he wants to hire an additional salaried employee. If the salary budget for these employees is $5325 per month, how much can he afford to offer the new employee?
Answers
Answer:
$1200
Explanation:
The three existing employees earn $1250 each. With an increase of $125, each will now earn $1,375.( $1250 + $125)
The new total for the three employees will be = $4,125
The employer has a budget of $5,325. After paying the three employees, the available balance will cater to the new employee.
The available balance will be $5,325 - $4,125
=$1200
Sarah grows peaches. L is the number of unit of labor she uses and T is the number of units of land she uses, her output is f(L,T)=L 1/2 T 1/2 bushels of peaches.
(a) Draw the isoquant for the combinations of inputs that give her the output of 4 bushels of peaches. Write down the equation corresponding to this particular isoquant.
(b) What kind of returns to scale does this production function have?
(c) In the short run, Sarah has only 1 unit of land. Draw a graph that shows the relationship between the level of output and the amount of labor used (with output on the y-axis and labor on the x-axis).
Note that the slope of this graph gives us marginal product of labor. Please draw MPL curve on the same x - and y-axis.
(d) In the long run, Sarah has 4 units of land. Draw a graph to show the relationship between the level of output and the amount of labor used (using different ink color from part (c)). Draw a new MPL curve corresponding to the long-run. Compare MPL. between short-run and longrun.
Answers
(a) The isoquant represents the combinations of labor (L) and land (T) that result in a specific level of output, which in this case is 4 bushels of peaches.
To draw the isoquant, we set the production function equation equal to 4 and solve for L: 4 = L^(1/2) * T^(1/2) Squaring both sides of the equation, we get:
16 = L * T This equation represents the isoquant for an output of 4 bushels of peaches. (b) To determine the returns to scale of the production function, we examine how output changes when all inputs are increased proportionately. In this case, if both labor and land are increased by a certain factor, say k, then the new production function becomes:
f(kL, kT) = (kL)^(1/2) * (kT)^(1/2) = k^(1/2) * k^(1/2) * L^(1/2) * T^(1/2) = k * f(L,T)
Since output increases proportionately with the increase in inputs, the production function exhibits constant returns to scale. (c) In the short run, Sarah has only 1 unit of land. We can graphically represent the relationship between output and labor by plotting output on the y-axis and labor (L) on the x-axis. The graph would show a positive relationship, where as the amount of labor increases, output also increases. The slope of this graph represents the marginal product of labor (MPL). The MPL curve will be upward sloping, indicating that as more labor is added, the increase in output (MPL) initially increases at a diminishing rate. (d) In the long run, Sarah has 4 units of land. Using a different ink color, we can draw a new graph to represent the relationship between output and labor in the long run. The graph would still show a positive relationship between output and labor, but with the availability of more land, the output levels would be higher compared to the short run. The MPL curve corresponding to the long run would also be upward sloping, but the output levels (MPL) would generally be higher compared to the short-run MPL curve, reflecting the increased availability of land.
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A stock currently sells for $25 per share and pays $0.24 per year in dividends. What is an investor's valuation of this stock if she expects it to be selling for $30 in one year and requires a 15 percent return on equity investments? Working out
Answers
Answer:
$26.30
Explanation:
Calculation to determine the investor's valuation of this stock
Using this formula
Investor's valuation of the stock = [Dividend / (1 + rate)] + [Selling price / (1 + rate)]
Let plug in the formula
Investor's valuation of the stock = [$0.24 / (1 + 0.15)] + [$30 / (1 + 0.15)]
Investor's valuation of the stock = $0.21 + $26.09
Investor's valuation of the stock = $26.30
Therefore the investor's valuation of this stock will be $26.30
Lavonda’s very wealthy grandmother recently died. After her death, everything she owned totaled $1,000,000. However, her family was only given $700,000. What MOST likely happened to the other $300,000?
It was used to cover income taxes.
It was used to cover sales taxes.
It was used to cover excise taxes.
It was used to cover estate taxes.
Answers
Answer: wrong it is estate taxes
Explanation:
The most likely event happened to the other $300,000 that It was used to cover estate taxes. Thus last option is correct.
What is the meaning of Estate taxes?Estate Tax refers to the form of the tax in which a charge placed on a property owner's ability to transmit their possessions to others after passing away that takes the shape of a percentage of their taxable estate.
According to the above situation, the death of the Lavonda’s grandmother led to the implementation of the Estate Tax on her wealth of $1,000,000.
Therefore, the taxable estate to be included is $300,000. Thus last option is correct.
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