Last year, a small business reported the following cash flows:Gross revenues = $440,000;Operation and maintenance costs = $110,000;Asset depreciations = $44,000;State income tax = $12,870;Determine the federal income tax paid if the federal income tax rate is 21%.A. $47,190B. $78,540C. $60,060OD. $57,357○ E. $69,300

The objective of the question is to calculate the federal income tax paid by a small business. The…

Answered: Last year, a small business reported…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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1. A corporation has a taxable income of $7,060,373. At this income level, the federal income rate is 50%, the state tax rate is 22%, and the local tax rate is 13%. If each tax rate is applied to the the total taxable income, the resulting tax liability for the corporation would be (50 + 22 + 13)%. Luckily for the corporation, the taxes paid are deducted as described above. What is the tax liability (as a percentage of taxable income) if the customary deductions are taken into consideration? 2. A corporation has a taxable income of $2,122,324. At this income level, the federal income rate is 49%, the state tax rate is 18%, and the local tax rate is 9%. If each tax rate is applied to the the total taxable income, the company would have to pay $2,122,324 * 0.49 in federal taxes. Luckily for the corporation, the taxes paid are deducted as described above. How much is paid in federal taxes if the customary deductions are taken into consideration? 3. A corporation has a taxable…
a. What is taxable income for the first year? I have the formula taxable income = gross income - expenditures - depreciation. however I can't find depreciation value (can't tell if deductibles can be depreciated). From using the formula I got 845,330. b. how much should the company expect to pay in taxes in the first year? There are no state income taxes required. for this I got 245,699 dollars. Please help me verify my answers. thanks
In the year 2019, a corporation made $18.8 Million in revenue, $2.2 Million of operating expenses, and depreciation expenses of $6.4 Million. The state income tax rate is 11% and the federal income tax rate is 21%. How much (a) state income tax, and (b) federal income tax will this corporation pay in this tax year? Assume that the state income tax is a tax-deductable expence when filing federal income tax. .... The approximate state income tax is $ Million (Round to three decimal places.) The approximate federal tax is S Million. (Round to three decimal places.) The combined effective income tax rate is%. (Round to the nearest decimal.) The ATCF for the year 2019 is $ Million. (Round to three decimal places.)
In the year 2021, a corporation made $18.2 Million in revenue, $2.4 Million of operating expenses, and depreciation expenses of $6.2 Million. The state income tax rate is 9% and the federal income tax rate is 21%. How much (a) state income tax, and (b) federal income tax will this corporation pay in this tax year? Assume that the state income tax is a tax-deductable expence when filing federal income tax. The approximate state income tax is $ Million (Round to three decimal places.) The approximate federal tax is $ Million. (Round to three decimal places.) The combined effective income tax rate is enter your response here %. (Round to the nearest decimal.) The ATCF for the year 2021 is $ Million . (Round to three decimal places.)
Calculating Taxable Income Taxable income $0 $9,525 $9,526 $38,700 $38,701 - $82,500 $82,501 $157,500 $157,501 - $200,000 $200,001 - $500,000 $500,001 or more Rate 10.0% 12.0% 22.0% 24.0% 32.0% 35.0% 37% Using the previous tax table, compute the tax liability for the individual in the scenario presented, rounding the liability to the nearest dollar. In addition, use the dropdown lists to identify the marginal tax rate and average tax rate for the individual in the scenario. Yakov's Tax Scenario Yakov is a young professional with taxable income of $133,500 as an advertising account executive. What is Yakov's total tax liability? What is Yakov's top marginal tax rate? 24.00% What is Yakov's average tax rate? (Note: Round your answer to the nearest cent, if necessary.)
When determining the present worth of the after-tax cash flows of an investment purchased using borrowed funds, which of the following are required? I. Principal and interest component for each loan payment II. Tax rate applied to the taxable income generated by the investment III. Depreciation deductions for the investment IV. Before-tax and loan cash flows for the investment V. MARR. a. I, III, IV, and V only b. II, III, IV, and V only c. IV and V only d. All items (I, II, III, IV, and V).
If net investment is given to bs as $200 million and the depreciation is $30 million Calculate the value of Gross investment
If you earn $130,0000, what is the marginal tax rate? Taxable income ($) $0-$50,000 Tax (%) 7% 5.84% 6% 05% 5% $50,001-$100,000 $100,001-$200,000 6% 7%
During a particular year, a corporation has $18.6 million in revenue, $2.4 million of operating expenses, and depreciation expenses of $6.4 million. What is the approximate federal tax this corporation will have to pay for this tax year?
Required Compute the deferred tax expense and the balance of the deferred tax account for each year. Prepare all journal entries required to record Oliver’s income tax provision for all 3 years.
In 2015, a firm has receipts of $8 million and expenses (excluding depreciation) of $4 million. Its depreciation for 2015 amounts to $2 million. If the effective income tax rate is 40%, what is this firm’s net operating income after taxes (NOPAT)?
"Income taxes are based on a company's taxable income" Is this statement true or false?

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