Javier and Anita Sanchez purchased a home on January 1 of year 1 for $1,000,000 by paying $200,000 down and borrowing the remaining $800,000 with a 6 percent loan secured by the home. The Sanchezes made interest-only payments on the loan in years 1 and 2. (Leave no answer blank. Enter zero if applicable. ) Problem 14-46 Part a a. Assuming year 1 is 2017, how much interest would the Sanchezes deduct in year 2?
Answers
The amount of interest that the Sanchezes would deduct in year 2 would be $48,000.
This is because they took out a 6 percent loan of $800,000 to purchase their home for $1,000,000 and made interest-only payments in both year 1 and year 2.
Therefore, the annual interest on the loan is $48,000, and since they paid this amount in year 1, they would also deduct this same amount on their tax return in year 2.
It is important to note that the deduction for mortgage interest is a common tax benefit for homeowners in the United States. This deduction allows homeowners to deduct the interest paid on their mortgage from their taxable income, which can result in a significant tax savings.
However, there are certain limitations to this deduction, such as a cap on the amount of mortgage debt that is eligible for the deduction and income limits for those who can claim the deduction.
Additionally, it is worth mentioning that while the Sanchezes made interest-only payments in the first two years of their loan, they would eventually need to start making principal payments as well.
This means that their monthly mortgage payments would likely increase over time as they pay down the principal balance on their loan.
Homeowners should carefully consider the financial implications of taking out a mortgage and ensure that they can comfortably afford the payments over the life of the loan.
To know more about interest refer here :
https://brainly.com/question/30393144#
#SPJ11
Related Questions
If a person’s real income increases by 2% while the price level increases by 4%, one can conclude that the person’s nominal income has, approximately:
a- Increased by about 2%
b- Increased by about 4%
c- Decreased by about 2%
d- Increased by about 6%
Answers
The person’s nominal income has, approximately decreased by about 2%. Option c is correct.
When a person's real income increases by 2% but the price level increases by 4%, it means that the purchasing power of their income has decreased. This is because the increase in prices has outpaced the increase in income. To maintain the same level of purchasing power, the person's nominal income would need to increase by the same percentage as the increase in the price level, which is 4%.
Since the person's nominal income has only increased by 2%, it has not kept pace with the price level, resulting in a decrease in real income by approximately 2%. Therefore, the correct answer is c- Decreased by about 2%.
To know more about income, here
https://brainly.com/question/2386757
#SPJ4
You receive a check for $50 from your Aunt Louise for your birthday. You go to an ATM to deposit the check into your checking account. How should you endorse the check?
1. Just sign your name on the front of the check
2. Sign your Aunt Louise's name on the back of the check
3. Sign your name and write "For Deposit Only" and your checking account number on the back of the check
4. Since the check is made out to you, you don't need to worry about signing the check
Answers
Answer:
I think it's 3 but i don't know for sure also can you give me brainlist if I'm right please I really need it
To properly endorse the check received from your Aunt Louise for your birthday, you should sign your name on the back of the check and include "For Deposit Only" along with your checking account number.
When you receive a check, it's important to endorse it properly before depositing it into your account. By signing your name on the back of the check and adding "For Deposit Only" along with your checking account number, you're indicating that the check is meant for deposit into your account only.
This helps ensure that the funds are credited to your account securely and prevents unauthorized individuals from cashing the check.This helps ensure the secure and accurate deposit of the funds into your account.
Hence, The correct option is 3. Sign your name and write "For Deposit Only" and your checking account number on the back of the check.
Learn more about check here: brainly.com/question/30689087
#SPJ3
A pharmacy has monthly sales of $278,000, inventory purchases of $186,000, salaries and wages of $49,000, utilities of $2,000, insurance of $1,200 and maintenance of $675. what is the overhead?\
Answers
The pharmacy's monthly overhead is $52,875.
The term "overhead" describes continuing business costs that aren't directly related to providing a good or service. It is crucial for budgeting as well as for figuring out how much a business must charge for its goods or services in order to turn a profit. The charges or expenses for operating a business are referred to as overhead. These costs are unrelated to any particular product or service unit. Among the overhead expenses are: Rent, Utilities, Insurance, Office Equipment, Travel costs, wages and salaries, advertisement costs, legal and accounting costs. Data and calculations: $278,000 in monthly sales. $186,000 in inventory purchases. Total overhead: Salaries and wages $49,000, Electricity $2,000, $1,200 in insurance, $675 Maintenance, $52,875 in overhead overall. Consequently, the pharmacy's overhead for the month is $52,875.
Learn more about overhead
https://brainly.com/question/14811739?
#SPJ4
a cleaning company uses $10 of chemicals, $40 of labor, and $5 of misc. expenses for each house it cleans. after some quality complaints, the company has decided to increase its use of chemicals by 50%. by what percentage has multifactor productivity fallen? group of answer choices 0% 9.1% 25% 50% 16.7%
Answers
By 8.3% multifactor productivity fell.
So, in the given question initial cost per house is:
= Chemical + labour + misc. expenses = cost per house
= $10 + $40 + $5 = $55 per house
After the 50% increase in the use of chemicals the cost per house will be:
= $15 + $40 + $5 = $60 per house
Now we will calculate the cost of new multifactor productivity,
New multifactor productivity = new cost of 1 clean house / old cost of one clean house
= $55 / $60 = 0.917 or 91.7%
so the change in multifactor productivity (old multifactor productivity- New multifactor productivity ) = 100% - 91.7% = 8.3%
Visit the link below to learn more about percentages:
brainly.com/question/14819556
#SPJ4
"Production and marketing are like the scissor's blade, one is no good without the other." Justify this statement with suitable example
Answers
Answer:
Explanation:
The given statement is absolutely correct. As both blades of scissor is equally important to cut a piece of cloth similarly production and marketing both are dependent on each other to work efficiently.
Before the production of any item, pre-marketing is done to ensure the sale is followed by production, and to enhance the sale post- marketing is planned.
For eg : an XYZ product is manufactured, but the company doesn't have the marketing skills there will be no sale. So if the production is at peak but the company doesn't market it. so all the production woulkd be useless because marketing increase sale as well as ensure the margin.
Hence, production is incomplete without marketing and vice versa
https://brainly.com/app/profile/66893035/answers
The four elements commonly found on a system request are _____.a. economic, organizational, technical, and operational feasibilityb. project sponsor, business need, business requirements, and business valuec. risk analysis, familiarity, project size, and cost-benefit analysisd. training, software, installation, and equipmente. upgrades, licensing fees, repairs, and charges
Answers
The correct option is (b). The four elements commonly found on a system request are project sponsor, business need, business requirements, and business value.
When submitting a system request, it is important to include certain elements to ensure that the project is feasible and meets the needs of the business. These elements typically include the project sponsor, who is the person or group responsible for overseeing the project; business need, which outlines the specific problem or opportunity that the project is intended to address; business requirements, which detail the specific features and functionalities needed in the new system; and business value, which demonstrates the benefits that the new system will bring to the organization.
By including these four elements in a system request, stakeholders can ensure that the project is well-defined and aligned with the goals and objectives of the business. This can increase the likelihood of project success and lead to greater value for the organization.
To know more about the project visit:
https://brainly.com/question/30323883
#SPJ11
if the authorized sources do not provide sufficient guidance, you should:
Answers
If the authorized authority does not provide sufficient guidance, you should refer to other sources for the assistance that you need.
Other officials that you may need for assistance may be the security manager and the government contracting authority.
The two authorized methods that are used to communicate the classification decisions are the
Security classification guide Well marked source documentRead more on https://brainly.com/question/25769159?referrer=searchResults
Review the table below. Highlight or circle the option for Property Damage coverage you would purchase. In the box below, explain why you chose your selection.
Helps you pay for another person's property (car, house, fence, mailbox, etc) in a car accident when you are at fault
No deductible, just pay your premium, and you are covered up to the limit
Basic
$15,000
$20
Moderate
$25,000
$45
Enhanced
$50,000
$60
Answers
I recommend selecting "Enhanced coverage", which offers $50,000 of Property Damage coverage at an annual premium cost of $60.
Why the selection is pickedAs it provides maximum coverage for property damage, I would choose this option because of its comprehensive nature - especially important if a car accident was my responsibility and damaged another party's assets.
While Basic coverage might be cheaper, $15,000 might not cover all costs related to property damage for more costly items like houses or cars. Moderate provides slightly more coverage than Basic option; while enhanced provides higher limits with minimal additional premium costs - both are worthwhile investments for added peace of mind and protection.
Read m ore on damage coverage here:https://brainly.com/question/25855858
#SPJ1
Is inflation slowing?
Answers
Inflation has decreased throughout the majority of the last three decades. According to the Organization for Economic Cooperation and Development, prices are currently rising at a quick rate since the 1980s.
Give a brief account on inflation.A prolonged increase in the overall level of pricing for goods and services is referred to as inflation. It is calculated as a percentage annual rise as reported in the Consumer Price Index (CPI), which is typically created monthly by the Bureau of Labor Statistics (BLS). The purchasing power declines with rising inflation. Not only that, though. Fixed asset values are impacted, businesses modify their prices for goods and services, financial markets react, and the makeup of investment portfolios is impacted. Inflation is a universal reality to some extent. Regardless of how severe or when they first arise, price increases have an effect on consumers, businesses, and investors.
It's a simple fact of economic life that inflation will always be a problem. Regardless of whether it is essentially beneficial or negative, it unquestionably affects the investing climate. Investors should be aware of the effects of inflation and adjust their portfolio structures accordingly. However, one thing is obvious. Depending on their unique situation, investors must maintain a mix of equities and fixed-income assets with sufficient real returns to combat inflation.
To know more about, inflation, visit :
https://brainly.com/question/29308595
#SPJ4
which career is likely to earn the high salary
Answers
Answer: Your welcome!
Explanation:
The career that is likely to earn the highest salary depends on a variety of factors, such as the individual's qualifications and experience, the industry they work in, and the specific job they hold. Generally, some of the highest-paying careers include doctors, lawyers, software engineers, and financial analysts. These careers usually require extensive education and training and can offer very high salaries. Other potential high-paying careers include investment bankers, business executives, and software developers.
To provide realistic special effects, production studios need to hire scientists and mathematicians. What other production activities could studios engage in if they didn’t hire these mathematicians and scientists?.
Answers
For providing realistic special effects, production studios need to hire scientists and mathematicians, by paying some extra fees to look at movies as more realistic.
Hire scientists and mathematicians:Hire scientists and mathematicians is a result of paying some extra cost for improving the quality of the movie as it looks real.
Another options by excluding scientists and mathematicians are: producing more and more movies and documentary clips and films. Making an experiment with different angles, Paying bonuses and extra payments to employees for extra work Hire more celebrities. Improving the set of studios, Provide better infrastructure, etc.Therefore, providing realistic special effects, production studios need not hire only scientists and mathematicians, as we have discussed above.
Learn more about scientists and mathematicians refer:
https://brainly.com/question/11924031
in most experiments, trade-offs are made between validities because it is not possible to achieve all four at once. what is the most common trade off?
Answers
Increased internal validity results in decreased external validity.
When reading about other studies and planning your own, it's a good idea to keep these four major validity considerations in mind: internal, external, construct, and statistical.
When internal validity is improved, external validity frequently suffers, and vice versa. Your choice of study type represents the main objectives of your investigation. An artificial lab environment or the real world can both be used to evaluate a causal link.
It is very challenging to design a study that simultaneously fulfils all four validities. Sometimes, researchers merely concentrate on their priorities and do not even attempt to fulfil all four validities.
To know more about external validity, visit:
https://brainly.com/question/12489703
#SPJ4
Shawn wants to determine which species of bacteria and fungi live with bees. In a few sentences, describe a method you might use to identify the microbes.
Answers
Answer:
The essence of the particular issue is outlined in the following subsection on the clarification.
Explanation:
Bacteria including certain Pseudomonas, Pantera, etc., and fungal organisms such as Aspergillus, Cladosporium, as well as Mucor, etc. become studied in corbicular sperm including bee bread contained in colony stores. One can classify the microbes with either the aid including its DNA sequencing process.DNA sequencing would be used to establish the sequence of the components within a limited fragmented of even an organism's DNA. This article evaluates a percent correlation for known organisms through an approved reference database.Are the costs of debt and equity observable in the capital markets? If not, how do you estimate that cost of capital?
Answers
Depending on the supply and demand of equity, a bond’s price can vary, thus the premium or discount price.
For example, when the interest rate falls, older bonds may become valuable because they were sold in a higher interest rate environment and therefore with a higher coupon rate. Consequently, investors holding those bonds can commend a "premium" to sell equity. On the other hand, if the interest rate rises, older bonds may become less valuable. In order to get rid of them, investors may have to sell for less, thus the "discount” price.
Bond prices are quoted as a percent of the bond’s face value, and an easy way to learn the price of a bond is simply by adding a zero to the price quoted. For instance, when you hear a bond is quoted at 99, it means the price for the bond is $990 for every $1,000 of face value. Because the bond price is below the face value, it’s said the bond is traded at a discount. On the other hand, if the bond is trading at 101, it means you will pay $1,010 to get that $1,000 face value bond.
The dividend discount model (DDM) is a procedure for valuing the price of a stock by using the predicted dividends and discounting them back to the present value. If the value obtained from the DDM is higher than what the shares are currently trading at, then the stock is undervalued.
Learn more about equity here
https://brainly.com/question/1957305
#SPJ4
Which statement best summarizes the law of demand ?
A. Sellers only supply goods that are in high demand from buyers.
B. Buyers are more likely to buy a products that is supplied in large quantities.
C. Sellers can easily substitute a product in high demand with another product.
S. Buyers are more interested in purchasing products as those products decline in price.
Thank you :)
Answers
Buyers are more likely to buy a product that is supplied in large quantities.
What is the law of demand?The law of demand states that the quantity purchased varies inversely with the price. In other phrases, the better the rate, the lower the quantity demanded.
What are the types of demand?Individual and Market DemandOrganization and Industry DemandAutonomous and Derived DemandDemand for Perishable and Durable GoodsShort-term and Long-term DemandLearn more about the law of demand here https://brainly.com/question/24019366
#SPJ2
Which one of these items is NOT a processed material?
O Paper
O Steel
O Sand
O Glass
Answers
Paper was originally tree, steel was metal, glass was heated to become glass
Cost of Sochi Winter Olympics the Russian government spent $6.7 billion on Olympic facilities and
$16.7 billion upgrading Sochi area infrastructure. Sponsors spent $27.6 billion on hotels and facilities
hoping to turn Sochi into a year-round tourist magnet.
Was the opportunity codt of the sochi Olymics $6.7 , $23.4 , or $51 billion? Explain your answer
Answers
The opportunity cost of the Sochi Olympics is $51 billion.
How to find the opportunity cost ?Opportunity cost refers to the value of the next best alternative forgone when making a decision.
Therefore, the opportunity cost of the Sochi Olympics is the sum of the direct costs incurred by the Russian government ($6.7 billion) and the indirect costs of the forgone alternative ($27.6 billion), which gives a total of $34.3 billion. Adding the $16.7 billion spent on infrastructure upgrades, the opportunity cost of the Sochi Olympics is $51 billion.
Find out more on opportunity cost at https://brainly.com/question/30191275
#SPJ1
kathleen is considering expanding her dress shop. if interest rates rise she is:
Answers
Answer:
likely to expand?
Explanation:
Kathleen is considering expanding her dress shop. If interest rates rise she is Less likely to expand
What is interest ratesHigher interest rates can make it more expensive to borrow money. If Kathleen decides to borrow money or use credit to grow her dress shop, she might have to pay more money back because of the higher interest rates on those loans. This might make borrowing money more costly and might affect her choice to grow her business.
When interest rates go up, how people spend their money can change. When interest rates go up, it costs more for people to borrow money. This can mean people may spend less money on optional things like clothes, which could impact Kathleen's sales and income.
Read more about interest rates here:
https://brainly.com/question/29451175
#SPJ6
Governor Parson is afraid that corn prices are getting out of control in Missouri. He immediately signs an executive order capping corn prices at $10 per bushel. His economic advisor says "But sir, the price of corn is currently at $7.14." The governor looks at his advisor in a confused manner.Explain why the advisor pointed this fact out to the governor.
Answers
The economic advisor pointed out that the current price of corn is $7.14 to inform the governor that the executive order to cap corn prices at $10 per bushel is unnecessary at the current moment.
In fact, the market price for corn is already below the cap that the governor has set. Therefore, there is no need to take any action to control the corn prices as they are already below the desired price limit. Moreover, the advisor may also be trying to highlight the potential negative consequences of setting price controls on the market. Price controls, like the one the governor has proposed, can lead to a shortage of supply, as suppliers may be unwilling or unable to sell at a price lower than what they believe is fair. This could result in an increase in the price of other commodities, and consumers may experience a decline in the quality of goods and services. The advisor may have wanted to raise these concerns to the governor before taking any further action.
Learn more about goods and services here:
brainly.com/question/30709777
#SPJ11
The governor's economic advisor pointed out the current price of corn to him because it shows that the market is currently valuing corn at a lower price than the cap that he wants to impose.
By setting a price ceiling, the governor is essentially creating a price floor for corn that is above the current market equilibrium. This can lead to a surplus of corn, as farmers will produce more corn than consumers are willing to buy at the higher price. In addition, capping prices can discourage investment in the corn industry, as investors will not see the potential for higher profits if the market demand for corn increases in the future. This can ultimately harm the economy in the long run.
Furthermore, setting a price ceiling and lower price can also lead to shortages of corn if the price is set below the cost of production. Farmers may not be willing to produce corn if they are not able to make a profit from it. This can also lead to higher prices for consumers in the long run, as there will be less supply available.
Learn more about equilibrium here:
https://brainly.com/question/28527601
#SPJ11
Tim is the accountant of a trading firm. Two years ago, the company bought a commercial van that had a value of $10,000. The van’s current market price is $8,500. However, Tim continues to value it at the original cost. Which principle guides his action?
Answers
Answer:
B. historical cost
Explanation:
According to the historical cost principle, the assets should be valued at purchased cost whether the market value is more or less
Since in the question, it is mentioned that the Tim continues the commercial van value at the purchased cost only even the market price is available
So this represents the historical cost principle
Hence, the correct option is b,
When writing a check...
Spell out the dollars and cents in the short box next to the $ symbol
Spell out the dollars and cents on the long line that ends in "Dollars"
Never sign the check
Sign on the line that says "Pay to the order of"
Always print your signature
Answers
- Spell out the dollars and cents in the short box next to the $ symbol
- Spell out the dollars and cents on the long line that ends in "Dollars"
- Sign on the line that says "Pay to the order of"
- Sign your name in cursive or as you normally do
- Make sure the amount written in words matches the numerical amount in the box
- Ensure the date is correct and current
- Write the name of the person or organization you are paying on the line that says "Pay to the order of"
- Include any optional memo or note on the memo line
- Keep a record of the check in your checkbook register or other tracking system.
A ground-dwelling plant grows along a chain-link fence
Answers
Answer: Very instresting?
Explanation:
Calculate the GDP using the table and choose the correct answer.
A) $602
B) $584
C) 298
Answers
Describe an ethical dilemma related to an employees behavior at work or work discipline
Answers
Understanding ethical dilemmas
You may be faced with an ethical dilemma when something at work goes against your personal ethics, morals and values. This could be something that one of your colleagues or managers is doing, or something that you are doing yourself.
bateman corporation sold an office building that it used in its business for $800,500. bateman bought the building 10 years ago for $599,750 and has claimed $200,750 of depreciation expense. what is the amount and character of bateman's gain or loss?
Answers
The amount and character of bateman's gain equals to amount of $401,500.
What is the amount and character of bateman's gain or loss?In economic, gain means general increase in the value of an asset or property. A gain is realized when the current price of something is higher than the original purchase price.
For accounting or tax purposes, gains are be classified in several ways such as gross vs. net gains or realized vs. unrealized (paper) gains.A capital gains may additionally be classified as short-term vs. long-term in nature.
Here, we first calculate the book value of the building:
Book value:
= Purchase price - accumulated depreciation
= 599,750 - 200,750
= $399,000
If selling price is higher than the book value, the company gain from the sale.
Gain/loss:
= Selling price - book value
= $800,500 - $399,000
= $401,500
Read more about gain
brainly.com/question/24477585
#SPJ1
As the CEO of your company, you can use only the planning and controlling functions to reach your organizational goals.
Select one:
O True
O False
Answers
Answer: False
Explanation:
CEOs are top management and top management use all five functions of management to ensure that the company reaches its goals and objectives.
The CEO has to use planning to to decide what long term strategies the company will use to achieve its goals. They have to use controlling to evaluate and improve the methods the company is taking to achieve its long term goals.
They also have to use staffing to hire the best top level and middle level talents that can push the company forward. As management they have to use leading to get the employees inspired to move the company forward and finally they will use organizing to put the various processes in the company together to ensure that the company's goals are met.
identify two ways to deposit money into and withdraw money out of your checking account.
Answers
Answer:
There are two ways to make deposits and withdrawals from a checking account: by going to a bank branch and working with a bank teller, or by using the nearest ATM.
Explanation:
Suppose that a competitive market is initially in equilibrium. Then demand increases. If some resources used in production are not available in sufficient quantities for entering firms,
a. the long-run market supply curve will be upward sloping.
b. the long-run market supply curve will be perfectly elastic.
c. in the long run firms will suffer economic losses, leading them to exit the industry.
d. the number of firms will decrease, and the market will become a monopoly.
Answers
Then demand increases. If some resources used in production are not available in sufficient quantities for entering firms, d. the number of firms will decrease, and the market will become a monopoly.
Companies are price makers in a monopolistic market because they set the prices for goods and services. Prices for goods and services are typically high in this type of market because businesses enjoy complete market dominance.
Companies control a majority of the market, which makes entry and departure points challenging. Due to the high entry barriers in monopolistic markets, even after new companies enter the market, it is frequently still dominated by one larger company.
Buyers typically have only one option for where to buy their goods or services in a monopolistic market because there is only one seller. In the absence of total entry barriers, such as a prohibition on competition or exclusive ownership of all natural resources, completely monopolistic markets are exceedingly uncommon and possibly even impossible.
To protect national interests or maintain vital infrastructure, a government may on occasion create a monopolistic market. For instance, a lot of utilities, like power or water authority, might be given monopoly status for a specific region.
To know more about monopoly:
https://brainly.com/question/29765560
#SPJ4
Compensation from your employer over and above your income describes:
A. payroll benefits.
B. employee benefits.
C. gross income.
D. net income
Answers
Answer:
the answer is c. Gross income
Answer:
Employee benefits
Explanation:
trust
Yvonne and Simon form Ion Corporation. Yvonne transfers equipment (basis of $188,600 and fair market value of $282,900). Simon invests $226,320 of cash. They each receive 100 shares in Ion Corporation, worth $226,320, but Yvonne also receives $56,580 in cash from Ion. Calculate Ion Corporation's basis in the equipment and determine Yvonne and Simon's basis in the Ion stock
Answers
The basis in the equipment transferred by Yvonne is $188,600, which represents the original cost of the equipment.
Ion Corporation's basis in the equipment will be the higher of the fair market value or the adjusted basis of the property in the hands of the transferor. In this case, since the fair market value of the equipment is $282,900, Ion Corporation's basis in the equipment will be $282,900.
Yvonne's basis in the Ion stock will be the total value of her investment, which includes the equipment transferred ($188,600) plus the cash received ($56,580), totaling $245,180.
Simon's basis in the Ion stock will be the total value of his investment, which is the cash contribution ($226,320).
Therefore, Yvonne's basis in the Ion stock is $245,180, and Simon's basis is $226,320.
learn more about "equipment":- https://brainly.com/question/25806993
#SPJ11