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VMariaS [17]
3 years ago
6

In 2019, Carson is claimed as a dependent on his parents' tax return. Carson's parents provided most of his support. What is Car

son's tax liability for the year in each of the following alternative circumstances?Use Tax Rate Schedule, Dividends and Capital Gains Tax Rates, Estates and Trusts for reference. for reference.a. Carson is 17 years old at year-end and earned $14,000 from his summer job and part-time job after school. This was his only source of income. (find Tax liability)b. Carson is 23 years old at year-end. He is a full-time student and earned $14,000 from his summer internship and part-time job. He also received $5,000 of qualified dividend income.(Find Tax Liability)
Business
1 answer:
lana [24]3 years ago
7 0

The tax laibility as calculated is $1036.

<u>Explanation:</u>

a.)  Carson earnings  $14000

Less: the Standard deduction  $12000

Taxable income  $2000  

Tax liability  $200

b.)  Carson earnings  $14000

Qualified dividend income  $5000

Gross income  $19000

less: Standard deduction  $12000

Taxable income  $7000

Taxable income taxed at carson rate  $2000

($7000 minus $5000)  

           Ordinary Tax  $200

Kiddie Tax is calculated as follows:  

Gross unearned income  

unearned income                             $5000

Kiddie tax up to 2600                          $260

Kiddie tax for over and above 2600  $576

                                                                     $836  

Total tax liability ($200 plus $836)           $1036

 

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6 0
4 years ago
Consider the market for socks. The current price of a pair of plain white socks is $5.00. Two consumers, Jeff and Samir, are wil
mr_godi [17]

Answer:

$10.10

Explanation:

Consumer surplus is the difference between the willingness to pay of a consumer and the price of the product.

Consumer surplus = willingness to pay of a consumer - price of the good

Producer surplus is the difference between the price of the product and the least price the producer is willing to sell his product

Producer surplus = price of the product - least price the producer is willing to sell his product

Consumer surplus

Jeff :  $7.25 - $5 = $2.25

Samir: $9 - $5 = $4

Total consumer surplus = $2.25 + $4 = $6.25

Producer surplus

Ist manufacturer = $5 - $3 = $2

2nd manufacturer = $5 - $3.15 = $1.85

Total producer surplus = $2 + $1.85 = $3.85

Total social welfare = $3.85 + $6.25 = $10.10

I hope my answer helps you

4 0
4 years ago
IBM expects to pay a dividend of $2 next year and expects these dividends to grow at 6​% a year. The price of IBM is $90 per sha
Elena-2011 [213]

Answer:

Cost of equity = 8.22%

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Cost of equity = Dividend per share /current market value + growth rate of dividend  

Cost of equity = 2/90 + 6%

Cost of equity = 0.0222 + 6%

Cost of equity =0.0222 + 0.06

Cost of equity = 0.0822

Cost of equity = 8.22%

7 0
3 years ago
Tom sells his father's watch for $100 to sue. he later finds out from his father that the watch was an expensive rolex. tom want
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The court would rule in sue's favor because courts seldom inquire into the adequacy of consideration.

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8 0
3 years ago
The identify options step in the operational risk management (orm) process includes implementing engineering, administrative, an
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5 0
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