Principle #4, taxes affect personal finance decisions, tells us that several points hold true regardless of what we invest in. Jason found a point that was included on the list in error. Which of the following is it?
A) The marginal tax rate is the rate you pay on the next dollar of earnings.
B) Tax-free investments should be compared on a before-tax basis.
C) You should consider tax-deferred investments.
D) Capital gains are better than ordinary income when it comes to taxes.
E) The higher your marginal tax bracket, the more attractive tax-free investments become.
Answer: B
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Benson and Orton are partners who share income in the ratio of 2:3 and have capital balances of $60,000 and $40,000, respectively. Ramsey is admitted to the partnership and is given a 40% interest by investing $20,000 . What is Benson's capital balance after admitting Ramsey?
a. $20,000 b. $24,000 c. $48,800 d. $71,200
The Blue Saints Band is holding a concert in Toronto. Fixed costs relating to staging a concert are $350,000 . Variable costs per patron are $10.00 . The selling price for a tickets $30.00 . The Blue Saints Band has sold 23,00 . tickets so far. How many tickets does the Blue Saints Band need to sell to break even?
a. 23,000 b. 20,000 c. 14,000 d. 17,500
In which part of a solicited proposal would you most likely convince your reader that you understand the problem completely?
A) Introduction B) Background C) Authorization D) Budget
Risk management is the process of increasing productivity by strategically managing the workflow.
Answer the following statement true (T) or false (F)