Paul owns a second home at the lake. during the year, he spent three weeks (21 days) at the lake home, rented it to his daughter for three three-day weekends for a total of $220, and rented it to friends for ten weeks (70 days) at fair rental value of $300 per week. his expenses for the year include:
• depreciation $2,000
• insurance $100
• mortgage interest $1,000
• real estate taxes $2,000
• utilities $1,000
what amount may he deduct for expenses on his schedule e, rental income?

a. $2,100.
b. $3,000.
c. $3,220.
d. $4,620

All else being equal, which is true about a firm with high operating leverage relative to a firm with low operating leverage? select one: a. a higher percentage of the high operating leverage firm's costs are fixed. b. the high operating leverage firm is exposed to less risk. c. the debt payments limit the high operating leverage firm's opportunities to turn a big profit. d. the high operating leverage firm has more debt.

Atoy manufacturer makes its own wind-up motors, which are then put into its toys. while the toy manufacturing process is continuous, the motors are intermittent flow. data on the manufacture of the motors appears below.annual demand (d) = 50,000 units daily subassembly production rate = 1,000setup cost (s) = $85 per batch daily subassembly usage rate = 200carrying cost = $.20 per unit per year(a) to minimize cost, how large should each batch of subassemblies be? (b) approximately how many days are required to produce a batch? (c) how long is a complete cycle? (d) what is the average inventory for this problem? (e) what is the total annual inventory cost (holding plus setup) of the optimal behavior in this problem?

On february 3, smart company sold merchandise in the amount of $5,800 to truman company, with credit terms of 2/10, n/30. the cost of the items sold is $4,000. smart uses the perpetual inventory system and the gross method. truman pays the invoice on february 8, and takes the appropriate discount. the journal entry that smart makes on february 8 is: