Answer:
a. Transaction 1
It is not deductible so the Taxable income is $9,000
Transaction 2
It is deductible, taxable income would be;
= 13,500 * ( 1 - Tax)
= 13,500 * ( 1 - 20%)
= $10,800
b. Transaction 1
It is not deductible so the Taxable income is $9,000
Transaction 2
It is deductible, taxable income would be;
= 13,500 * ( 1 - Tax)
= 13,500 * ( 1 - 40%)
= $8,100
Answer:
$620,000
Explanation:
to determine the net cash flow generated by the project, we can use the indirect method to determine cash flows:
net income = $790,000 x (1 - 30%) = $553,000
net income adjustments:
- depreciation expense $190,000
- increase in accounts payable $42,000
- increase in accounts receivable ($79,000)
- increase in inventory <u> ($86,000) </u>
Project's cash flow $620,000
Without the With the change
project project
Accounts receivable $5,000 $84,000 $79,000
Inventory $98,000 $184,000 $86,000
Accounts payable $75,000 $117,000 $42,000
The answer is <span>a. attempt to make large payments or bribes to influence policy decisions of foreign governments.</span>
Answer:
D. 25.80 percent
Explanation:
The formula to compute the effective annual rate of the loan is shown below:
= (1 + annual interest rate ÷ periods)^ number of period - 1
= (1 + 23% ÷ 52)^52 - 1
= (1 + 00442)^52 - 1
= 1.00442^52 - 1
= 1.2579618615 - 1
= 25.80%
There are 52 weeks in a year and we considered the same in the above calculation
