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3 years ago

How do you find tax liability from taxable income?

Business

1 answer:

ycow [4]3 years ago

7 0

Answer:

How to calculate tax liability from taxable income

Explanation:

Your taxable income minus your tax deductions equals your gross tax liability. Gross tax liability minus any tax credits you're eligible for equals your total income tax liability. hope this helps you :)

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The better-off test for evaluating whether a particular diversification move is likely to generate added value for shareholders

Arada [10]

Answer: Has competitively valuable value chain match-ups with the company's present businesses such that its businesses can perform better together than apart.

Explanation:

The better-off test of diversification is that the company must gain a return that is higher than incremental growth. Incremental growth is usually defined a 1 + 1 = 2 formula and this test argues that Diversification must provide more than this such that the company achieves synergistic growth ( 1 + 1 = 3) which is what happens when different entities work better together than alone.

Diversification should therefore be into an area that will be able to match-up with the company's present businesses such that its businesses can perform better together than apart and produce even greater returns.

5 0

3 years ago

The following information is available for Barkley Company: 2017 2016 Accounts receivable $ 360,000 $400,000 Inventory 280,000 3

lubasha [3.4K]

Answer:

4.0 times

Explanation:

Given that,

2016:

Accounts receivables = $400,000

Inventory = 320,000

Net credit sales = 1,400,000

Cost of goods sold = 1,060,000

Net income = 170,000

2017:

Accounts receivables = $360,000

Inventory = 280,000

Net credit sales = 3,000,000

Cost of goods sold = 1,200,000

Net income = 300,000

Inventory turnover ratio refers to the ratio between the cost of goods sold and average inventory.

Average inventory:

= (Beginning inventory + Ending inventory) / 2

= ($320,000 + $280,000) / 2

= $300,000

Therefore, the inventory turnover ratio for 2017 is as follows:

= Cost of goods sold / Average inventory

= 1,200,000 / 300,000

= 4.0 times

6 0

3 years ago

Adieu Enterprises, based in Toronto, decides to expand into the South American market. To do so, it establishes a separate opera

Ilia_Sergeevich [38]

Answer:

The statement is: True.

Explanation:

A wholly-owned subsidiary is a corporation with a common stock owned by another company at one hundred percent (100%). When a company owns less than fifty percent (50%) of another company, the company holds a minority interest in it. The parent company will control all development, management, and profits with a wholly-owned subsidiary but it also shares costs and responsibilities.

8 0

3 years ago

What is the repricing gap if the planning period is 30 days? 3 months? 2 years? Recall that cash is a noninterest-earning asset.

Tcecarenko [31]

Answer:- -$95 million for 30days, -$20 million for 3 months, +$55 million for 2 years.

Explanation:

Repricing gap using a 30-day planning period, we have;

$75 - $170 = -$95 million.

Repricing gap using a 3-month planning period, we have;

($75 + $75) - $170 = -$20 million.

Reprising gap using a 2-year planning period, we have;

($75 + $75 + $50 + $25) - $170 = +$55 million.

b) the impact over the next 30 days on net interest income vary. Let us use i) when net income increases by 50 basis points.

ii) when net income decreases by 75 basis points.

if impact over the next 30 days on net interest income increases by 50 basis points, we would have that net interest income will decrease by $475,000, see below:

ΔNII = CGAP(ΔR) = -$95m.(0.005) = -$0.475m

If impact over the next 30 days on net interest income decrease by 75 basis points, net interest income will increase by $712,500. This is because:

ΔNII = CGAP(ΔR) = -$95m.(-0.0075) = $0.7125m

7 0

3 years ago

Walter builds birdhouses. he spends $5 on the materials for each birdhouse. he can build one in 30 minutes. he is semi-retired b

Vesna [10]

Answer:

D. $5

Explanation:

Accountants calculate only explicit costs, or costs that are directly attributed to the process. (This is different than how an economist would calculate costs, because economists would also include the implicit costs such as the opportunity cost of the wages Walter could be earning at the store if he wasn't making bird houses).

6 0

3 years ago

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