What can be inferred from paragraph 4?After the IRS issued the new rule, fewer sports memorabilia came out to the market.The proceeds should remain intact despite the possible tax increase.Don Larsen may need to pay more tax for the sale of sports memorabilia.Don Larsen is assumed to sell his uniform to pay less tax.I don't know

Rather than leave a 56-year-old uniform hanging in a closet at his Idaho home, Don Larsen decided it should be used for education. He's auctioning off the Yankee pinstripes he wore in 1956 when he pitched the only perfect game in World Series history, and will use the proceeds to pay college tuition for his grandchildren, one in college and the other a high school freshman."I'm not getting any younger and I want to see them get an education before I leave," the 83-year-old Larsen said. "They'll be appreciative later, more so than now, I'm sure."Similarly, Bob Knight is selling his NCAA championship rings and other mementos to fund education in his family.In fact, a slew of sports memorabilia is on the market, coincidentally or not, just ahead of possible tax increases that could eat up some of the proceeds. Starting Jan. 1, there will be a new Medicare tax on income from investments for higher-earning people. The IRS hasn't issued rules yet, so money from the sale of collectibles may be subject to the new levy.Read the text and answer the questions.The author mentions the new levy in order to ____________.explain why many sports memorabilia are on the marketdiscuss details of a new Medicare taxdiscuss when the IRS will clarify rules surrounding the new levyexplain who will not be affected by the new lawI don't know

If a tax is physically paid by sellers, then sellers will always bear the full burden of the tax

When a tax is placed on the buyers of a product, buyers payGroup of answer choicesmore and sellers receive more than they did before the tax.more and sellers receive less than they did before the tax.less and sellers receive more than they did before the tax.less and sellers receive less than they did before the tax.

A tariff is a tax on:Group of answer choicessavingscapital goodsimportsexports

QUESTION ONE (50 marks)Johnson has been trading of sports equipment and accessories for some years. The followinglist of balances has been extracted from his ledger as at March 31, 2023.$Rent, rates and insurance 15,000Electricity paid 6,000Postages and stationery 800Advertising 36,500Salaries and wages 35,000Bank interest expenses 3,500Cash in hand 100Stock at April 1, 2022 5,000Debtors 9,000Fixtures and fittings at cost 9,000Accumulated depreciation of Fixtures and Fittings at April 1, 2022 1,800Sales 150,000Creditors 9,680Purchases 100,000Office equipment at cost 5,000Accumulated depreciation of Office Equipment at April 1, 2022 500Share capital 52,9205-year bank loan at interest rate of 20% per annum 10,000The following additional information as at March 31, 2023 includes:1. Stock at March 31, 2023 was valued at $50,000.2. An electricity bill of $300 for January 2023 was received. This bill has not yet beensettled until May 2023.3. Rates was paid in advance for April to June 2023: $1,200.4. A customer has failed to make payment of $1,500 for a long time. It deemed as baddebts as at March 31, 2023.5. Depreciation of fixture and fittings: 20% per annum on straight line basis.6. Depreciation of office equipment: 10% per annum on straight line basis.2Required:(a) Prepare a Profit and Loss account for the year ended March 31, 2023 and aBalance Sheet as at that date. (30 marks)(b) Give comments on the above information given. (20 marks)