Answer:
The present value for each year is calculated at 4% interest. In this question the present value be the sum of the cash deposits plus the interest for each year.
Present Value
= Sum of cash deposits for each year + Interest for each year
= 23100 + 9240
= 32340
Explanation:
To calculate the sum of the cash deposits, add the deposit for each year.
(Year 1 to Year 21 = 23100)
To calculate the interest for each year, take the cash deposit for the year and multiply it by 4%. (Year 1 to Year 21 = 9240)
Refer to the attached spreadsheet to assist with the calculations and the answer given above.
Answer:
$13,717
Explanation:
The amount of AMTI is ($100,000+$30,000) $130,000.
AMT base
= $130,000 - $83,400
=$46,600.
TMT is $46,600 × .26 = $12,116.
Their tax liability which is $13,717 is greater of the TMT or regular tax which is $12,116.
Hence , the amount of their total tax liability in this case is $13,717
In the province of British Columbia in Canada one reason for good tourism from US visitors is because the US dollar is worth about 30% more than the Canadian $ so the exchange rate is good. Also, weather is a factor so during the spring and summer when the days are mostly sunny and the rain has mostly stopped, is a better time for tourists to come here. Another factor is the country physical characteristics so that the mountains and the sea are attractive especially in for example Vancouver. Another factor is the wildlife for example to see the killer whales and seals and porpoises in the Georgia Straight is an attraction. Also the people speak English (or French in eastern Canada) so English speakers can be at home.