1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
charle [14.2K]
3 years ago
13

In fiscal 2016, Snap-On Inc. reported a statutory tax rate of 35%, an effective tax rate of 30.5%. Income before income tax for

2016 was $801.4 million. What did Snap-On report as tax expense (on its income statement) in 2016? A. $166.7 million B. $170.0 million C. $244.4 million D. $184.7 million E. None of the above
Business
1 answer:
posledela3 years ago
4 0

Answer:

Snap on the report as the tax expenses will be $244.427

Explanation:

We have given income before tax in 2016 = $801.4 million

Effective rate tax = 30.5 % = 0.305

We have to find the snap on report as tax expense

Tax expenses is given by

Tax expense =income\ before\ tax\times effective\ tax\ rate=801.4\times 0.305=$244.427

So snap on the report as the tax expenses will be $244.427

You might be interested in
There are some 200 economic integration agreements around the world today, far more than a few years ago.NAFTA, EU, Asean etc. V
kicyunya [14]

Answer:

Economic integration agreement is when countries within a particular geographical area decide to remove or relax tariff or non-tariff barriers to trade between themselves and also to coordinate and harmonize their fiscal and economic policies. Free trade area is the simplest form of an economic integration; it is when governments of member countries agree to remove trade restriction between each other and when member countries are given the freedom to determine their own external trade policies towards non-members.  

Supporters of free trade area argue that it is beneficial to the country based on the trade creation argument. Trade creation is where high-cost domestic production is replaced by more efficiently produced imports from within the group; that is, more expensive domestic products are replaced by lower priced imports from countries within the group. The trade creation argument is hinged on the fact that a free trade area ensures that trade is generated over and above what would otherwise have happened if there was no integration. Further, the removal of tariffs allows members to specialize in those products for which they have a comparative advantage leading to a variety of cheap imports for domestic consumers, thereby increasing living standards or welfare gains. Trade creation also creates an incentive for high cost domestic producers to cut cost so as to remain competitive thereby enhancing efficiency.

On the other hand, a free trade area is criticized on the basis of trade diversion. This is where trade with a low-cost country outside the group is influenced by higher–cost products supplied from within the group; this results in a less efficient allocation of resources as trade from outside the group is replaced by trade from within the group. Trade diversion could mean that local consumers would have to buy products at less competitive prices. Another argument would be that a free trade area would lead to a removal of tariff between member countries thereby resulting in a cessation of government revenue from tariffs. As opposed to a free trade area,  free trade would increase world output and employment, raise quality and lower prices of goods as firms have access to factor inputs; it will also increase world living standards or enhances welfare gains.  A free trade agreement only restricts these potential advantages to a particular geographical space.  

Explanation:

8 0
3 years ago
Wattan Company reports beginning inventory of 11 units at $65 each. Every week for four weeks it purchases an additional 11 unit
larisa86 [58]

Solution:

Activity Units Units cost Cost of Goods Available

Beginning Inventory                11     $65.00      $715

1st week purchase                   11      $66.00     $726

2nd week purchase                 11      $67.00     $737

3rd week purchase                  11      $70.00     $770

4th week purchase                  11      $75.00     $825

Units available for sale            55

Cost of goods available for sale                       $3,773

5 0
3 years ago
Problem 7-28 Nonconstant Growth (LO2) Planned Obsolescence has a product that will be in vogue for 3 years, at which point the f
LuckyWell [14K]

Answer:

Po = <u>D1</u>        +     <u>D2</u>    +        <u> D3</u>

       (1 + Ke)     (1 + Ke)2   (1 + Ke)3                                                                                                                                          

Po = <u>$12</u> +   <u>$12.50</u> +      <u>$28 </u>

     (1 + 0.1)    (1 + 0.1)2   (1 + 0.1)3

Po = <u>$12</u> + <u>$12.50</u> + <u>$28</u>

        1.1       (1.1)2        (1.1)3

Po = $10.91 + $10.33 + $21.04

Po = $42.28  

                                                                                   

Explanation:                                                                      

The current stock price is a function of future dividends capitalised at the cost of capital of the company of 10% for a period of 3 years.  

6 0
3 years ago
"You’ve observed the following returns on Crash-n-Burn Computer’s stock over the past five years: 6 percent, –13 percent, 24 per
Vanyuwa [196]

Answer:

6.80%

Explanation:

The average nominal returns is the sum of the returns for 5 years divided by the number of returns considered( i.e 5, 5 returns for 5 years)

average nominal returns=(6%-13%+24%+18%+15%)/5

average nominal returns=10.00%

The Fisher's equation is shown thus:

(1 + i)  = (1 + r) (1 + π)

i=nominal return=10.00%

r=average real return=the unknown

π=inflation rate=3%

(1+10.00%)=(1+r)*(1+3%)

1.10=(1+r)*1.03

1+1=1.10/1.03

r=(1.10/1.03)-1

r=6.80%

7 0
2 years ago
What does an increase in the consumer price index indicate?
erastova [34]
It indicates signs of inflation in the economy
3 0
3 years ago
Other questions:
  • Glascro Company manufactures skis. The management accountant wants to calculate the fixed and variable costs associated with the
    15·1 answer
  • A mother earned ​$ 7500.00 from royalties on her cookbook. she set aside​ 20% of this for a down payment on a new home. the bala
    9·1 answer
  • A _______ is a cluster of complementary products and services that are closey related in the minds of consumers but are spread a
    14·1 answer
  • FordTech is a software company whose clients are based in France. The company has formed a team to decide the direction the orga
    15·1 answer
  • Do you think it is best to keep track of finances using a check register, a bank statement, or both? Why?
    13·1 answer
  • In the month of November Marigold Corp. wrote checks in the amount of $43300. In December, checks in the amount of $59239 were w
    10·2 answers
  • Unlike a general partnership, in a limited partnership
    5·1 answer
  • During 20X5 Peterson Company experienced financial difficulties and is likely to default on a $500,000, 15%, three-year note dat
    12·1 answer
  • Ok but seriously don't click on the site in the comments...unless you want to
    9·2 answers
  • Suppose your roommate. Clara is starting à room cleaning business on your campus. There are five potential workers. Each is will
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!