When income rises, demand for a normal good will go up and demand for an inferior good will go down (because people would rather spend their extra money on the normal/better products).
Answer:
deductible expenses = $5000
Explanation:
given data
gross income = $30,000
medical expenses = $8,000
floor for deduction = 10 %
to find out
How much of a tax deduction will Kaye be able to deduct
solution
we find here deductible expenses that is express as
deductible expenses = medical expenses - ( 10% × gross income ) ...............1
put here value we get
deductible expenses = 8000 - ( 10% × $30,000 )
deductible expenses = 8000 - ( 3000 )
deductible expenses = $5000
Answer:
Given that,
Taxable income = $75,000
Interest from an investment = $10,000
Using the U.S tax rate schedule in 2017
(a) Federal tax will he owe = $5,226.25 + 25% × ($75,000 - $37,950)
= $5,226.25 + $9262.5
= $14,488.75
(b)
= 19.32%.
(c)
= 17.05%
(d) Chuck is currently in the 25 percent tax rate bracket.
His marginal tax rate on increases in income up to $16,900 and deductions from income up to $37,050 is 25 percent.
Answer:
1. Required tabulation is the Shares Authorized, the Shares Issued and the Shares Outstanding
Shares Authorized = 290,000 shares
Shares Issued
= Total Cash Collected / Price per share
= 2,170,000 / 14
= 155,000 shares
Shares Outstanding
= Shares Issued - Treasury stock
= 155,000 - 5,000
= 150,000 shares
2. Additional paid in capital account
= Gain (loss) above par
Par value is $10 and Stock was sold for $14
= (14 - 10 ) * 155,000
= $620,000
3. Earnings per share
= Net Income/ Shares outstanding
= 297,000/150,000
= $1.98