ihollywoodchina.com

I am studying accounting and can’t understand that.
I understand that assets have a balance of debit, but why expenses?
I understand that Liabilites have a normal balance of credit, but why Revenue and Capital?

Assets = liabilties + equity.

if you have $1000 cash and you owe $300 to a friend your equity is $700

Assets = liabilities + equity
$1000 = $300 + $700

make sense?

I’m confused on the process. First I believe Oil Companies can buy Oil from somewhere or use their own wells. Then they sell it to a refinery for income. Then, the refinery makes the gasoline and sells it to who? I know they also send it via pipeline to storage depots where tankers fill and mix additives and dyes to mark it as one oil company’s or another and does that oil company get revenue from the storage depot owner???? There are also plastics, lubricants, LP gas etc….. very confusing.

Refineries sell to marketers. The marketers can be from the same company or they can be independent.

These marketers operate what are called terminals, where all of the tanker trucks go to get more product. These terminals are all supplied by pipelines that stretch across the US. These pipelines go from refinery to terminal and sometimes storage tanks.
Most terminals are owned by pipelines and refiners.

Companies can basically lease out tank space at these terminals so trucks for their gas stations can fill up. Each "jobber" pays the terminal using credit card type things that track the EXACT amount of product and additive used. These jobbers are usually on accounts and the account is then charged for the product. The average truck holds about 8,000 gallons. The detergent used at each terminal depends on the owner: the amount used depends on if the product is considered branded or un-branded. Basically a grocery store station will be un-branded and will have less detergent than the BP station.

Companies charge for the use of the terminals (called throughputting) and for additizing and mixing products.

Any product that does not go to a terminal (everything that is not Jet, Diesel, or some sort of gasoline) goes elsewhere. Other types of pipeline will transport different chemicals, like LPGs and such. Sulfur and asphalt are usually shipped in rail cars out of the refinery to other companies.

OK. I tried to explain what goes on. Its actually far more complicated than what is before this but any more detail and it would be overload.

Hope I could help!!

Do you ever feel guilty that you are buying something out of state for tax free?

Buying online and not paying sales tax reduces the taxes available in your local community to pay for things like roads, police and schools. Also, is it really fair competition with local stores if the only advantage that an online retailer has is that it does not collect sales tax? In New York state, it is the responsibility of residents to pay the taxes even if they are not collected by the online retailer, though most do not. I think that eventually large retailers, like Amazon, will have to collect the tax no matter where you live.

I have to do a microeconomics final and it is to prepare a worksheet for revenues, costs and profits for each production level in the data provided. How would I do this? It is for De Beers Trading Company…

All revenue data in the first section.

All costs in the section section after the revenue.

Profit/(Losses) follow the above two sections – bascially with a formula of: Total Revenue minus Total Expenses (Costs)

Google for a sample Profit & Loss Statement for reference.

Specifically how much they get from oil companies.
And the breakdown?
In other words if Exxon Mobil for example made a profit of $10B, in the same period how much did they pay in tax?
boston: Thx – but can I find as a whole what they collected from a sector so to speak?

You can’t get specific tax information about a specific company from the government. You’d have to examine the company’s annual report and financial statements and attempt to extract what you’re looking for from that.

Conservatives claim that lower tax rates result in increased tax revenue. However, none of these studies ever control for other factors besides the tax rate. For example, increased government spending also results in increased tax revenue because of increased economic activity. So unless you control for government spending and other factors, how can you tell the effect of a given tax rate on tax revenue? Are there any valid, peer reviewed studies on this subject?

Yah they can calculate the money multiplier for taxes and government spending. I’ve never heard lower taxes result in higher gross taxes unless you have a higher sales tax rate than income. You’re thinking of Huckabee’s weird fairtax thing and that is heavily disputed how much that would increase economic activity.

Conservatives claim that lower tax rates result in increased tax revenue. However, none of these studies ever control for other factors besides the tax rate. For example, increased government spending also results in increased tax revenue because of increased economic activity. So unless you control for government spending and other factors, how can you tell the effect of a given tax rate on tax revenue? Are there any valid, peer reviewed studies on this subject?

Yah they can calculate the money multiplier for taxes and government spending. I’ve never heard lower taxes result in higher gross taxes unless you have a higher sales tax rate than income. You’re thinking of Huckabee’s weird fairtax thing and that is heavily disputed how much that would increase economic activity.

According to the 2008 Annual Report from the Commissioner of Public Lands in New Mexico revenues earned from leases for wind, solar, and biomass energy development on trust lands have jumped more than 300 percent. New Mexico is producing 496 megawatts of wind power, but according to the American Wind Energy Association has dropped to twelfth in the nation for installed wind capacity.
Why do you think this is? Is this a bad place for New Mexico to be?

they dropped to 12th because other states have been installing turbines as well. Pa has been adding about 1 a month (300′ turbines) as well as ohio new york michigan. just north of Pittsburgh near I80 is a farm under construction now in addition to the others already in operation.
http://www.pawindenergynow.org/pa/farms.html

Many people in my community are opposing a rezoning of an area for an apartment building. Other than an impact to traffic and schools there are not many negatives I can see at this time. I assume the apartment building would pay property taxes but what other revenues could a city count on?

Sales taxes on the utilities that the tenants would be paying. If they are allowed pets, there is usually a pet tax or license fee.

I am having a hard time understanding this. Anyone got an easy to understand website?

I will just give you my two cents worth on the subject at hand. It is as simple as it gets: "match the recognition of revenues with its expenses"

For example, if you sold a piece of land, which has already been paid for. However, you still have to pay the taxes and other costs associated with the sale. Because of some reason, you still have not paid the necessary expenses, but you are supposed to report your quarterly earnings already. Since those associated costs are directly connected to the sale of land, then you should accrue the costs. In short, you match the revenues with the appropriate expenses.