Swan finance company, an accrual method taxpayer, requires all of its customers to carry credit life insurance. if a customer dies, the company receives from the insurance company the balance due on the customer's loan. ali, a customer, died owing swan $1,500. the balance due included $200 accrued interest that swan has included in income. when swan collects $1,500 from the insurance company, swan: a. must recognize $1,500 income from the life insurance proceeds. b. must recognize $1,300 income from the life insurance proceeds. c. does not recognize income because life insurance proceeds are tax-exempt. d. does not recognize income from the life insurance because the entire amount is a recovery of capital. e. none of these.

Pennewell publishing inc. (pp) is a zero growth company. it currently has zero debt and its earnings before interest and taxes (ebit) are $80,000. pp's current cost of equity is 10%, and its tax rate is 40%. the firm has 10,000 shares of common stock outstanding selling at a price per share of $48.00. refer to the data for pennewell publishing inc. (pp). pp is considering changing its capital structure to one with 30% debt and 70% equity, based on market values. the debt would have an interest rate of 8%. the new funds would be used to repurchase stock. it is estimated that the increase in risk resulting from the added leverage would cause the required rate of return on equity to rise to 12%. if this plan were carried out, what would be pp's new value of operations? a. $484,359 b. $521,173 c. $584,653 d. $560,748 e. $487,805

After the embarrassing sign incident at the restaurant you own, you decide to offer employees a six-week fundamental writing skills workshop. a local business communication instructor, who has experience teaching writing skills at treleaven community college, will facilitate the sessions. to encourage employees to attend these optional sessions, write an email that explains why you’re offering the workshop and why employees should participate.

Health insurance protects you if you experience any of the following except: a: if you have to be hospitalized b: if you damage someone's property c: if you need to visit a clinic d: if you can't work because of illness