Answer:
$81,900
Explanation:
tax liability = (total income - total expenses + long term capital gains - short term capital gains) x tax rate
tax liability = ($730,000 - $400,000 + $90,000 - $30,000) x 21% (corporate tax established by TC&JA) = $390,000 x 21% = $81,900
Corporations pay the same tax rate for normal income or capital gains, unlike individuals who generally pay lower capital gains rates.
Answer:
C
Explanation:
Working capital is the capital used in the daily running of a business.
Working capital = current assets - current liabilities
Working capital is a form of expenditure for the firm.
Thus it is an outflow.
Working capital should be recorded after tax. tax should be subtracted from working capital to determine the eventual outflow
An increase in working capital means more cash is being used in the business. this cash cannot be used elsewhere. this reduces the amount of cash the business can use for other activities. this is why it is an outflow
Answer: D.) Direct marketing (happy to help)
Explanation:
