You are in the 32% federal tax bracket. You are offered a taxable bond with a yield of 8.0% and a municipal (muni) bond with a yield of 5.8%. What is the breakeven federal tax rate where you are indifferent with regard to purchasing the taxable bond or the municipal bond? Should you buy the taxable bond? A) 27.50% breakeven tax bracket; No, you should buy the muni bond B) 27.50% breakeven tax bracket; Yes, you should buy the taxable bond C) 29.80% breakeven tax bracket; No, you should buy the muni bond D) 29.80% breakeven tax bracket; Yes, you should buy the taxable bond E) 37.93% breakeven tax bracket; No, you should buy the muni bond F) 37.93% breakeven tax bracket; Yes, you should buy the taxable bond G) None of the above

Answers

Answer 1

Answer: A. 27.50% breakeven tax bracket; No, you should buy the muni bond

Explanation:

The breakeven federal tax rate where one is indifferent with regard to purchasing the taxable bond or the municipal bond will be calculated as:

= 1 - municipal bond yield/taxable bond yield

= 1 - (5.8% / 8%)

= 1 - (0.058 / 0.08)

= 1 - 0.725

= 0.275

=27.50%

Therefore, the answer will be A) 27.50% breakeven tax bracket; No, you should buy the municipal bond.


Related Questions

Which statement best compares these two loans?
Loan A
Loan B
O The annual percentage rate for loan A is higher
than the rate for loan B
Loan
amount
$15,000
$10,000
O The interest for loans A and B will cost the borrower
the same amount over time.
APR
17%
19%
O The interest is about half the principal for A and
almost equal to the principal for B.
The total payment for A is higher than for B, even
though the principal is actually lower
Loan
repayment
term
5 years
5 years
Total
interest
paid
$7,367.32
$9,857.02
) Intro
Done

Answers

Based on the given information, it seems that Loan A has a lower principal amount ($15,000) compared to Loan B ($10,000). However, Loan A has a higher annual percentage rate (APR) of 17% compared to Loan B's 19% APR.

What are the basis of Loan comparison ?

This means that over the course of the loan term, the borrower will end up paying more interest for Loan B, making the total payment for Loan B higher than Loan A.

In terms of the interest, it appears that for Loan A, the interest is about half the principal amount, whereas for Loan B, the interest is almost equal to the principal amount. This indicates that Loan B may be more expensive in terms of interest costs.

Despite Loan A having a lower principal amount, the total interest paid for Loan A is $7,367.32, which is lower than the total interest of $9,857.02 for Loan B. This suggests that Loan A may be a better option for the borrower, as it would result in lower overall costs over the loan term.

Overall, the comparison between Loan A and Loan B highlights the importance of considering both the interest rate and the principal amount when evaluating loan options.

Learn more about loans here

https://brainly.com/question/28975946

#SPJ5

Levine Inc. is considering an investment that has an expected return of 15% and a standard deviation of 10%. What is the investment's coefficient of variation?
a. 0.67
b. 0.73
c. 0.81
d. 0.89
e. 0.98

Answers

Answer:

A)0.67

Explanation:

Coefficient of variation can be regarded as the method that is usually devices in the assessment of the total risk per unit of return in a particular investment.

To calculate the investment's coefficient of variation, we use the expresion below

Coefficient of variation = standard deviation/expected return.

Given:

expected return = 15%

standard deviation = 10%.

Coefficient of variation =10/15

= 0.67

Hence, the investment's coefficient of variation is 0.67

Escalation bias refers to the situation in which:_______. a. investors put more money into a failure rather than into a success. b. investors tend to follow the herd. c. investors have a propensity to sell winners too soon and hang on to losers too long. d. investors ignore bad news and overemphasize good news. e. investors are all noise traders.

Answers

Answer:

a. investors put more money into a failure rather than into a success.

Explanation:

The escalation bias is a part of behavioral finance. In this the investor is not accepting their mistake if they had done any kind of mistake. Rather accepting it they put more money in the asset that performed poorly also at the same time the bad news is ignored by them, they only focused to invest more and more in the stocks

hence, the correct option is a

Sue now has $490. How much would she have after 8 years if she leaves it invested at 8.5% with annual compounding?
Answer
a.
$1,148.14
b.
$837.58
c.
$941.10
d.
$1,157.55
e.
$724.64

Answers

Answer:

c.$941.10

Explanation:

Calculation for How much would she have after 8 years

Using this formula

FV = PV(1+i)^n

FV represent future value

PV represent present value

i represent interest rate

n represent number of periods

Let plug in the formula

FV = 490(1 + .085)^8

FV= $941.10

Therefore How much would she have after 8 years will be $941.10

Steve Colburn's portable sawmill used 100% for business, was completely destroyed by fire. The sawmill had an adjusted basis of $35,000 and a fair market value of $50,000 before the fire. The sawmill was uninsured. Steve's casualty loss is:________.1) $49,900.
2) $50,000.
3) $35,000.
4) $34,900.

Answers

Answer: $35,000

Explanation:

A casualty loss is simply a loss that an individual or business incurs when a property is damaged, or destroyed due to an unexpected or sudden event like fire, volcanic eruption, flood etc.

Here, Steve's casualty loss will be gotten when we compare both his adjusted basis and the fair market value and then we choose the lesser one. Since $35000 is lesser than $50000, therefore the answer will be $35000.

When benchmarking measures against the best levels of performance, these best levels may be found:A. inside the organization.B. outside the organization.C. inside and outside the organization.D. None of these is correct.

Answers

Answer:

C. inside and outside the organization

Explanation:

Benchmarking is the process in which the company compared its products and processes with the other companies to measure its performance.

But for the best performance level here we have to considered it for both internal and outside organization that involves the customers, competitors, suppliers, etc

Therefore the correct option is c

And, the same is to be considered

If the French euro devalued by 17% against the U.S. dollar, this is equivalent to a revaluation of the dollar against the euro by:________.A) 17%B) 16.31%C) 20.48%D) 17.54%

Answers

Answer:

C) 20.48%

Explanation:

I will use an example to show this:

1€ = $1

if the euro depreciates by 17%, then the exchange rate will be 0.83€ = $1

in order for the euro to recover its previous value against the dollar, it needs to increase 0.17€ / 0.83€ = 0.2048 = 20.48%

in other words, a 17% depreciation is equivalent to a 20.48% revaluation.

XYZ company is analyzing a proposed project. The company expects to sell 1,500 units, ±3 percent. The expected variable cost per unit is $220 and the expected fixed costs are $438,000. Cost estimates are considered accurate within a ±2 percent range. The depreciation expense is $64,000. The sales price is estimated at $647 per unit, ±2 percent. What is the sales revenue under the worst-case scenario?

Answers

Answer:

$922,557.30

Explanation:

Sales revenue = Quantity sold * Price

a. Worst case quantity = 1500*97% = 1455

b. Worst case price = 647*98% = $634.06

Sales revenue under worst case = 1455*$634.06

Sales revenue under worst case = $922,557.3

Stock Y has a beta of 1.10 and an expected return of 13.15 percent. Stock Z has a beta of .80 and an expected return of 6 percent. If the risk-free rate is 5.0 percent and the market risk premium is 7.6 percent, what are the reward-to-risk ratios of Y and Z?

Answers

Answer:

For Y = 7.31%

For Z = 1.25%  

Explanation:

The computation of reward-to-risk ratios of Y and Z is shown below:-

Reward to Risk Ratio = (Expected Return of Security - Risk free Return) ÷ Beta of Security

Reward to Risk Ratio Y = (13.05% - 5%) ÷ 1.10

= 7.31%

Reward to Risk Ratio Z = (6% - 5%) ÷ 0.80

= 1.25%

hence, the same is to be considered


A change in which of the following will cause the aggregate demand curve to shift?
A)
energy costs
B)
productivity of workers
C)
regulations
D)
consumer spending

Answers

Answer:

D) consumer spending

Explanation:

The aggregate demand is the total of all goods and services that consumers are willing and able to buy in the economy in a given period. It is the demand for all goods and services in the entire country per period.  Price variation usually causes movements along the demand curve.

Other factors that influence governments, firms, and household expenditures cause the aggregate demand curve to shift.  A change in consumer spending will reduce the number of goods demanded. The aggregate demand will shift inwards.

The December 31, 2018, balance sheet of Whelan, Inc., showed long-term debt of $1,415,000, $143,000 in the common stock account, and $2,680,000 in the additional paid-in surplus account. The December 31, 2019, balance sheet showed long-term debt of $1,610,000, $153,000 in the common stock account and $2,980,000 in the additional paid-in surplus account. The 2019 income statement showed an interest expense of $95,500 and the company paid out $148,000 in cash dividends during 2019. The firm’s net capital spending for 2019 was $990,000, and the firm reduced its net working capital investment by $128,000.

1. What was the firm's cash flow to creditors during 2019? (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 1,234,567.)2. What was the firm’s cash flow to stockholders during 2019? (A negative answer should be indicated by a minus sign. Do not round intermediate calculations an

Answers

Answer:

a. -$99,500

b. -$162,000

Explanation:

a. Cash Flow to Creditors = Interest paid - (Ending long-term debt - Beginning long-term debt)

Cash Flow to Creditors = $95,500 - ($1,610,000 - $1,415,000)

Cash Flow to Creditors = $95,500 - $195,000

Cash Flow to Creditors = -$99,500

b. Cash Flow to Stockholders = Dividends paid - [(Ending common stock + Ending additional paid-in surplus) - (Beginning common stock + Beginning additional paid-in surplus)]

Cash Flow to Stockholders = $148,000 - [($153,000 + $2,980,000) - ($143,000 + $2,680,000)]

Cash Flow to Stockholders = $148,000 - [$3,133,000 - $2,823,000] = $148,000 - $310,000

Cash Flow to Stockholders = -$162,000

Lionel works for an energy company interested in drilling for oil off the coast of a small island. The representative for the local fishing industry, Rochelle, says that locals are vigorously opposed to Lionel’s idea. A town meeting is held. Lionel explains how his company is dedicated to practicing the safest drilling techniques. He explains that oil piped from the ocean’s floor is purer and that it can be harvested in a more efficient way than an oil rig on land. Lionel also emphasizes how much the trucks carrying fish to the markets all over the country would save if local oil was able to be used. Rochelle fires back that in the past, serious accidents with offshore oil drilling have been reported. She points out that if there were a spill, the resulting death of fish would cost the local fisherman their livelihood. Local opinion on the issue is split. Before the town agrees to side with Lionel’s energy company or Rochelle’s local fish industry, officials order a report from a biotechnologist. Everyone agrees to go with what the biotechnologist recommends. Which side do you think the biotechnologist will agree with? Why?

hurry please

Answers

Answer:

Rochelle:

Rochelle because Because her oil company is safer than Lionel because if there were an oil spill the damage would be huge and it would damage the fish while if they take on Rochelles's idea, they can keep the fish healthy and happy.

The biotechnologist will likely agree with Rochelle's side, as the risks of offshore oil drilling are well-documented.

In the past, there have been many accidents that have resulted in oil spills, which can have devastating consequences for the environment and the people who rely on it for their livelihood.

Even if Lionel's company is committed to using the safest drilling techniques, there is always the possibility of an accident. And even a small spill can have a significant impact on the environment. For example, the Deepwater Horizon oil spill in the Gulf of Mexico in 2010 released millions of gallons of oil into the ocean, causing widespread damage to marine life and coastal communities.

The biotechnologist will also likely consider the economic impact of offshore oil drilling. While Lionel argues that local oil would be more efficient to transport, it is important to consider the potential costs of a spill. If there were an accident, the fishing industry would likely be devastated, and the local economy would suffer as a result.

In conclusion, the biotechnologist is likely to agree with Rochelle's side, as the risks of offshore oil drilling outweigh the potential benefits.

Learn more about biotechnologist here: brainly.com/question/31765340

#SPJ2

Please answer ASAP:
Eve runs a small Business. She runs her business operations from a rented office. Eve has paid the office rent worth $10,000 for the next four months in advance. Under which component of her businesses balance sheet with this amount fall?
A. Current assets
B.fixed assets
C. Current liabilities
D. Long term liabilities
E. Owners equity

Answers

Answer:

A. Current assets

Explanation:

Eve has prepaid her rent for the next four months. It means Eve has made payments for a service that she is yet to consume. Prepayments are currents assets. In this case, Eve's landlord owes her four months' worth of rent, only that she does not expect monetary payment.

Because Eve will use the room for four months without payments, the rent prepayment is an asset to the business.

Current assets are the assets convertible to cash in a period of one year or less. Liabilities would be the money Eve owes to third parties.

Answer:

A

Explanation:

it is current assets because she has paid for it in advance and it is a short period of time.

Consider the following probability distribution of returns for Alpha Corporation:________. Current Stock Price ($) Stock Price in One Year ($) Return R Probability PR $25 $35 40% 25% $25 0% 50% $20 -20% 25% The standard deviation of the return on Alpha Corporation is closest to:_______. a. 22.4% b. 19.0% c. 21.8% d. 19.4%

Answers

Answer:

c. 21.8%

Explanation:

Note: B = Year beginning stock, C = Year end stock price, D = Dividend, E = Holding Period return, F= Holding Period return*Probability, G = (Holding Period return - Expected return)^2, H= Probability * (Holding Period return - Expected return)^2

Probability     B       C       D       E        F           G              H

25%               $25  $35     -       40%   10%    0.12250    0.03063

50%               $25  $25     -       0%      0%    0.00250   0.00125

25%               $25  $20     -      -20%   -5%    0.06250   0.01563

                              Expected return = 5%                       4.75%

Holding period return = (Price at year end +dividend -Price at year beginning)/Price at year beginning

Variance = 4.75%

Standard deviation = √(variance)

Standard deviation = √4.75%

Standard deviation = 21.8%

Even as it begins to produce the Mirai for the U.S. market, Toyota continues to manufacture its traditionally fueled cars, trucks, and SUVs. Doing this helps Toyota manage the ______ of industrial demand.
a. volatility
b. division
c. durability
d. development

Answers

Answer:

a. volatility

Explanation:

From the question, we are informed that "Even as it begins to produce the Mirai for the U.S. market, Toyota continues to manufacture its traditionally fueled cars, trucks, and SUVs. In case of Doing this it helps Toyota manage the volatility of industrial demand.

volatility of industrial demand do occur where there is uncertainty as far as demand is concerned in the consumer products , as a result of this most firms to catch up with compitition, growing their sales an lot more , so in this case Toyota still continues to manufacture its traditionally fueled cars, trucks, and SUVs even though there is Mirai for the U.S. market.

The following are budgeted data: January February March Sales in units 15,000 20,000 18,000 Production in units 18,000 19,000 16,000 One pound of material is required for each finished unit. The inventory of materials at the end of each month should equal 20% of the following month's production needs. Purchases of raw materials for February would be budgeted to be:______.A) 20,400 pounds.B) 19,600 pounds.C) 18,600 pounds.D) 18,400 pounds.

Answers

Answer: 18400 pounds

Explanation:

Based on the information given in the question, the purchase of raw material for February would be budgeted to be:

= (19000 × 1) + (16000 × 1 × 20%) - (19000 × 1 × 20%)

= 19000 + 3200 - 3800

= 18400 pounds

Therefore, purchases of raw materials for February would be budgeted to be 18400 pounds.

Four people each have a different willingness to pay for one unit of a good: George will pay $15, Glen will pay $12, Tom will pay $10, and Peter will pay $8. If price decreases from $9 to $8 then the consumer surplus from this unit will increase by___. The consumer surplus is calculated as the marginal benefit or the value of the good minus its price, then summed over the quantity bought. If the price is $9, there are only 3 people (George, Glen, and Tom) who would buy the goods. Since Peter wants to pay $8, he will not buy this good since its price ($9) is higher than his willingness to pay. The consumer surpluses for George, Glen, and Tom are $6 (=15 - 9), $3 (=12 - 9), and $1 (=10 - 9), respectively. The total consumer surplus would be $10 (= 6 + 3 + 1). If the price is $8, all of them would be willing to buy the goods. The consumer surpluses for George, Glen, Tom, and Peter are $7 (=15 - 8) $4 (=12 - 8), $2 (=10 - 8), and $0 (=8 - 8), respectively. The total consumer surplus would be $13 (= 7 + 4 + 2). Thus, if price decreases from $9 to $8 then the consumer surplus from this unit will increase by $3. If the price increases from $9 to $11, what would be the decrease in consumer surplus?

Answers

Answer:

If price decreases from $9 to $8 then the consumer surplus from this unit will increase by $3.

Explanation:

total consumer surplus = ($15 + $12 + $10 + $8) - (4 x $8) = $45 - $32 = $13. Consumer surplus is the difference between the maximum amount that consumers are willing to pay for a good or service, and its actual price.

when the price was $9 per unit, total consumer surplus = ($15 + $12 + $10) - (3 x $9) = $37 - $27 = $10.

that means that consumer surplus increased by $13 - $10 = $3

Shawn goes to the library to pick up a copy of a common tax form used file taxes. Which of the following is MOST likely the form that Shawn got?

1099

W-2

1776

1040

Answers

Answer:

Shawn would choose form 1040 filing tax form.

Explanation:

The answer is D.) 1040

I got a picture of the answer.

Hope this helps!

should I cover for my coworker who sneaks out

Answers

no then you would get in trouble, but then again it would be nice for you to do it fir him. tell the boss that he needed to go do something if he gets cureas.(can't spell)

Some club members want to increase membership dues by $7.00.Other club members want to increase them by $3.00.They have reached an impasse on the issue,so they decide to split the difference and raise the dues by $5.00.What type of conflict style did the group use?
A) Accommodating
B) Collaborating
C) Competing
D) Avoiding
E) Compromising

Answers

Answer:

Option E (Compromising) would be the correct choice.

Explanation:

A conflict mediation method of consensus attempts to discover a reason to reasonably pleasing parties and from both sides of the debate. When it becomes more necessary to optimize a compromise than for the conclusion to always be perfect, a deadline is fast approaching, even at such an ongoing crisis, because you need a workable measure only for the moment, such style might be suitable to be using.

The other choices aren't relevant to the situation presented. Because otherwise, that is the right answer.

Q1: A researcher wants to understand the role of ethnocentrism, animosity, and self-esteem on purchase intention towards Chinese products in Pakistan with the moderating role of social status.

Based on the given information, answer the following questions:

I. Identify the independent variable(s), moderator, and dependent variable(s) of the study.

II. Develop the conceptual framework

III. Suggest the null and alternative hypothesis/hypotheses of the study.

Question No.2:
Rectify the Error if any in the following in-text citation as per APA guidelines
Perceived risk, which is defined as an individual’s degree of expected uncertainty associated with the result of using a certain technology (Tan and Lau, 2016). It includes five main groupings: service performance, monetary, time, societal, and security risks (Jacoby and Kaplan, 1972; Mha, 2015). Perceived risks in turn increase consumer hesitation and generate negative attitudes toward a service (Kalaiarasi and Srividya, 2012). This breeds a sense of anxiety and unease that in turn decreases the perceived value and usefulness of technology, thereby diminishing adoption intentions (Kumar, Arcand, Tai, 2012). Indeed, as stated by (Kazi and Mannan, 2013), electronic banking applications are associated with high perceived risks because consumers fear the exchange of personal financial information and services through online applications Moreover, studies have indicated that a high degree of perceived risk and insecurity is generally associated with mobile devices as people dread the loss or theft of these appliances and the information they hold (Hanafizadeh, 2013). Studies have also found that consumers fear the uncertainty associated with mobile applications, including system errors, software problems, connection troubles, and third party hacking (Tai and Ku, 2013). Therefore, high risks will significantly reduce an individual’s likelihood to adopt m-banking technologies (Kumar, Arcand, Tai, 2012).

Answers

Answer:

A researcher wants to understand the role of ethnocentrism, animosity, and self-esteem on purchase intention towards Chinese products in Pakistan is explained below in complete details.

Explanation:

1. Independent variable are those variables which are shaped by the experimenter, also described the incentive variable. There are 3 Autonomous Variables

IV. - • Ethnocentrism • Animosity • Self Esteem

Dependent Variable- The variable that is covered, also termed acknowledgment variable.

DV -the purpose of acquiring Chinese commodities.

Moderator - moderator is the variable that improves the intensity of the association between IV and DV (as discussed in the description above)

Social Status is the moderator.

3. Alternative hypothesis - Social Status moderates the variation in the purchasing purpose of Chinese commodities between people of differing Ethnocentrism, self-esteem, and Animosity towards Chinese commodities in Pakistani people.

Null hypothesis - there is no distinction between the purchasing intention of people of differing Ethnocentrism, Self Esteem, and Animosity towards Chinese commodities in pakistani population.

Identify and explain the dimensions of Iqra University’s culture, ranging from high level to low level for each dimension of culture.

Answers

The correct answer to this open question is the following,

The dimensions of Iqra University’s culture are the following.

Iqra University is a private university in Pakistan, and one of the most prominent colleges in the Pakistan education system.

The most important dimension of its culture is to provide high-quality education to its students. This university tries to match the graduates with the always-changing market necessities in Pakistan.

Another important aspect is that school teachers instill critical thinking abilities in each of their students because as part of its culture, they want to help students think wisely in a complicated world in order to choose the best decision and action.

One key aspect of its culture is ethics. The University put emphasis on moral values as a way to make good decisions, not only in business but in life.

When people have insurance against a certain event, the notion that those people are less likely to guard against that event occurring is called a _____________________ .a. riskb. hazard riskc. moral hazardd. moral risk

Answers

Answer:

C. moral hazard

Explanation:

moral hazard in can be explained as an hazard that occur when there are more exposure to hazards by entity simply because he/she doesn't responsible for the cost of the exposed risk.

It should be noted that moral hazard occur when people have insurance against a certain event, the notion that those people are less likely to guard against that event occurring .

Mason is assigning work to the different employees of his company. He wants his workers to perform well in their respective work. Which factor should Mason consider while assigning this work?
A.
relations with each employee
B.
living conditions of each employee
C.
age of each individual employee
D.
individual ability of each employee

Answers

Answer:

answer letter D

individually ability to each employee

Answer:

d) individual ability of each employee

Explanation:

What is the minimum number of integers that you must pick between 0 and 9 (inclusive), such that two of them add up to 9?

Answers

Answer:

6

Explanation:

there are 5 different possible combinations of two integers that equal 9 when you add them together:

(0,9)(1,8)(2,7) (3,6)(4,5)

The worst case scenario is that you choose 0, 1, 2, 3, and 4, and adding any pair will not result in 9. So you will need to choose a sixth number and whichever that number is (either 5, 6, 7, 8 or 9), you will be able to add it to another one to get 9.

The best case scenario is that you choose only two and you are lucky enough to get a combination that works.

Suppose the beta of Microsoft is 1.13, the risk-free rate is 3 percent, and the market risk premium is 8 percent. Calculate the expected return for Microsoft. A. 12.04 percent B. 15.66 percent C. 13.94 percent D. 8.65 percent

Answers

Answer:

i think its C

Explanation:

A shirt manufacturer buys cloth by the 100 yard roll from a supplier. For setting up a control chart to manage the irregularities (e.g., loose threads and tears) the following data was collected from a sample provided by the supplier.

a. Determine the c¯ , Sp, UCL and LCL for a c -chart with z = 2. (Leave no cells blank - be certain to enter "0" wherever required. Round your answers to 2 decimal places.)

Answers

Answer: see attachments

Explanation:

For a c -chart with z = 2 (irregularities in 10 samples) ; c¯ = 4.3, SP = 2.07, UCL = 8.45, LCL = 0.15.

What do you mean by Sample?

A sample is a condensed, controllable representation of a larger group. It is a subgroup of people with traits from a wider population.

Calculate the average irregularities per sample

Total irregularities in 10 samples = 43

No of samples = 10

Average irregularities / sample  c¯ =43/10 = 4.3

This is the center line of the control chart denoted by

Sp = sqrt(4.3) = 2.07

Assuming Z value for control chart = 2; Since this is not mentioned here

UCL = 4.3 + z

UCL = 4.3 + 2*

UCL = 8.45

LCL =  - z

LCL = 4.3 - 2*

LCL = 0.15

Therefore, c¯ = 4.3, SP = 2.07, UCL = 8.45, LCL = 0.15.

Learn more about Sample, here;

https://brainly.com/question/13287171

#SPJ6

with relavant examples discuss the intangible business property that is protected by law and which an entrepreneur should consider when starting up a business​

Answers

Answer:

While intangible assets have no physical shape or size, they pack lots of power for your business. If you and your employees have worked hard to create trademarks, patents, or copyrights, for example, you can use these assets in several ways to grow your business or increase business profit.

BUSINESS LAW & TAXES GLOSSARY

Making Intangible Assets Work For Your Business

Copyright symbol in cloudy sky

•••

Share

Flip

Pin

Email

BY JEAN MURRAY

Updated October 27, 2018

While intangible assets have no physical shape or size, they pack lots of power for your business. If you and your employees have worked hard to create trademarks, patents, or copyrights, for example, you can use these assets in several ways to grow your business or increase business profit.

What are Intangible Assets?

An Intangible Asset is a business asset which has no material substance. Intangible assets can be found in all areas of a business. For example:

Technology, like technical manuals, engineering processes, computer software

Customer relationships,

Contracts, franchises, licenses, and permits

Trained and competent workers (called workforce in place)

Some intangible assets are intellectual property. That is, they are specifically created by individuals and protected by laws from being stolen. Examples of intellectual property are trademarks, service marks, copyrights, and patents.

Customer relationships, including goodwill (the value of customer relationships),

Trade secrets, brand recognition, and proprietary business processes ("the way we do things in this company")

Marketing and advertising campaigns and materials

Location-related assets like land, water, and mineral rights.

How to Use Intangible Assets

Selling Intangible Assets

Some general intangibles, like business processes, can be packaged and sold. Create and sell a book on "the way we do things at XYZ company," with examples of how you did it. You don't have to give away all of your trade secrets, though. Just those that can be translated into other types of businesses.

You can also sell a copyright. Musicians often sell a music copyright, but more often they license the rights. These licenses are called Creative Commons Licenses.

Use Them to Increase Value in the Sale of Your Business

Goodwill is an important asset in the sale of a business. In a business sale, particularly one in which you are selling the business as a going concern, goodwill is the difference between the fair market price or book value of all the business assets and the sale price.

Other general intangible assets and intellectual property may also be valued and included in the selling price of a business.

License or Assign Assets Like Patents, Copyrights, and Trademarks

If your business has patents or trademarks, you can license the patent rights to someone, who can produce products from them. You can receive royalties on a continuing basis and set up criteria for use of the products made from these assets.

You may also want to consider assigning an asset, as a permanent sale.

Amortize Intangible Assets

Amortization is a calculation which allows you to spread out the expense of an intangible asset over its useful life, instead of capitalizing it in just one year. Amortization works like depreciation. Having expenses in several years allows you to reduce your business income during these years, thus reducing your business tax bill.

Under Section 197 of the Internal Revenue Code, the IRS designates certain intangible assets that can be amortized over 15 years and other intangible assets which cannot be amortized. The complete list is on Section 197 Intangible Assets.

Getting Help from an Intellectual Property Attorney

For most of these ways to use your intangible assets, you will need to hire a special attorney called an intellectual property lawyer, who can help you navigate the tricky world of selling and licensing.

Disclaimer: The information in this article, and on this site, is general in nature and is not intended to be tax or legal advice. Every business is unique, and intellectual property laws and regulations change frequently. Seek legal and tax advice before making decisions that might affect your business.

Answer:

Explanation:

Give the three benefits of using ms powerpoint presentation write your answer on your notebook

True/ False In Alex Tabarrok’s TED talk, he mentions, "innovative ideas are driving growth within the global economy more than ever before."

Answers

Answer:

True

Explanation:

The man Alexander Taborrak is a Canadian/American economist. He is a university professor and also a director of research.

The correct answer to this question is true. As he mentioned the importance of innovation and also the importance of creativity and still on the topic, he went on to make the statement that that the best is yet to come as 'innovation ideas are the driving growth of the economy as a whole'.

Assume that England and Spain can switch between producing cheese and producing bread at a constant Labor Hours Needed to Make 1 Unit of Number of Units Produced in 24 Hours Cheese Bread Cheese BreadEngland 2 3 12 8Spain 3 6 8 4Assume that England and Spain each has 24 labor hours available. If each country divides its time equally between the production of cheese and bread, then total production is:_________. a. 10 units of cheese and 6 units of bread. b. 25 units of cheese and 7.5 units of bread. c. 20 units of cheese and 12 units of bread. d. 12 units of cheese and 8 units of bread.

Answers

Answer:

a. 10 units of cheese and 6 units of bread.

Explanation:

Total there are 24 labor hours

So, for each there is 12 hours

Now the distribution is as follows

For england

= 12 ÷ 2 + 12 ÷ 3

= 6 units + 4 units

= 10 units

For Spain

= 12 ÷ 3 + 12 ÷ 6

= 4 units + 2 units

= 6 units

Hence, the correct option is a

And, the same is to be considered

All other options are wrong

Other Questions
what would be the value of m? Hello please this is kinda urgent so if you could answer really fast before 11:50 that would be great :-p-This is a school lesson on zearn no explenation needed just put the answer using / Factoring Polynomials Completely Step by step What strategies do you currently use, or could you use, to avoid test anxiety? Why are these strategies important? You know the measure of the exterior angle which forms a linear pair with the vertex angle. Describe two ways you can find measures of the interior angles of the triangle. Can someone help me plz You are walking along a stream when you look down and find a narrow bullet-like structure with an amberish color. You identify the fossil as the _________ of a(n) ____________. Inside the brown structure is a smaller striped what is 123124124134324*0 = what ? Factor 12x^3-19x^2-13x-6 given that x-2 is the factor The cards in Kaylens' hand had a value of 2.75, but then he added five (-1.5)cards to his hand. What is the new value of the cards in his hand? I. Fill in the blanks in the following sentences with the appropriate Spanish vocabulary word(s). Note the hints in parentheses. 1. Mi familia y yo (cocinar) todos los das.2. Yo (trabajar) mucho.3. Cmo se dice "midnight" en espaol? 4. Son las cinco la tarde.5. Juan y Roberto (limpiar) la casa.6. T (tocar) la guitarra muy bien.7. Qu hora es? las tres y media.8. Ud. (bailar) muy bien.9. Uds. (hablar) espaol.10. Cuarenta y dos + quince = .II. Answer the following questions with complete sentences in Spanish. Note the cues in parentheses.1. Hablas espaol?2. Trabajan Uds. todos los das?3. Cundo trabaja la profesora? (in the morning)4. Qu hora es? (6:15)5. Qu hora es? (1:30)6. Quin limpia la casa? (mam)7. Tell someone that you watch television all day every day.8. Cundo estudias? (at night)9. Tell someone that you and your sister cook every now and then.10. Qu hora es? (9:50 at night) What is the Z-score for Paula if she got 1400 on the SAT, the mean was 1100 and the standard deviation was 275? step by step how to get +1.09get marked the brainliest Best Buy has a 15% mail in rebate for any purchase over $1,000.Chloe purchased a new computer system for $1436.88. How muchwill Chloe receive back from Best Buy? A neon sign blinks every 6 minutes, and another sign blinks every 8 minutes. How often do they blink at the same time?A.Every 14 minutesb.Every 24 minutesc.Every 48 minutesd.Every 2 minutes 2 ptsQuestion 3Select all parts from the expression above that represents a constant term.-4.9-4.9t?1.82222tWhich ones are constant terms pls help what is that scp that mimcs other human voices? it is like a red crocodile Which equation represents a line which is parallel to the line 2y-5x=-162y5x=16? Can anyone help with this???? Dozens' of people have volunteered to help out at the marathon tomorrow. The volunteers jobs include giving directions and distributing water and food. 4.497 < 4.387 Is this true?