Answer:
$3,220.90
Explanation:
Expected Return = $517 * 12 months * 20.8 years
Expected Return = $129,043.20
Exclusion Percentage = $62,000/ $129,043.20
Exclusion Percentage = 0.4804593
Exclusion Percentage = 48.05%
Exclusion amount = $6,200 * 48.05%
Exclusion amount = $2,979.1
Amount included in Income = $6,200 - $2,979.1
Amount included in Income = $3,220.90
Answer:
Journal Entry
March 1
Dr. Cash $4,550,000
Dr. Discount on Note Payable $450,000
Cr. Note payable $5,000,000
December 1
Dr. Interest Expense $450,000
Cr. Discount on Note Payable $450,000
Dr. Note payable $5,000,000
Cr. Cash $5,000,000
Explanation:
Note payable is document which is payable after a specific period of time.
Note Payable is recorded at the present value of the note face value. We need to discount the face value of the note first.
Interest on the bond = $5,000,000 x 12% x 9/12 = $450,000
On December 31 Interest expense will be recorded and Payment of Note is made.
Answer:
Explanation:
Start with your gross income. Income is on lines 7-22 of Form 1040.
Add these together to arrive at your total income.
Subtract your adjustments from your total income (also called “above-the-line deductions”)
You have your AGI.
If a schedule c taxpayer does not bring the documents to prove the income, one cannot claim the Earned Income Tax Credit. Also the return cannot be prepared by the tax professional however one can make a form 1099 MISC to indicate their own income and lastly they should give other proofs that the income is accurate so that the paper for return can have the sign needed.
Answer: the body governing control on business
Explanation:
The body responsible for issuing of tax in most countries and cities differs, in most cities an organization could be set up to monitor different business or a specific business or the state government of that city may stand up for such responsibility. It all depends on the state.
