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3 years ago

Operating income and tax rates for C.J. Company’s first three years of operations were as

Business

1 answer:

Oksana_A [137]3 years ago

8 0

Answer:

Correct option is C ; the DTA - Deferred tax asset is $300,000

Explanation:

For losses of Year 2015 DTA should be created at 31/12/2015 as due to this loss future income will get reduced and consequently company's tax liability will get reduced.

DTA = 750,000 x 40% = 300,000

In year 2016 tax rate is 40% so DTA will be at this rate as after setting off the loss of year 2015 with income of 2016 the company will benefit by 750000 x 40%=300000 due to lesser income tax liability.

Hence the DTA - Deferred tax asset is $300,000

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3 years ago

Read 2 more answers

Pizza International, Inc. operates 700 family restaurants around the world. The company’s annual report contained the following

Thepotemich [5.8K]

Answer:

$22,546

Explanation:

The preparation of the Cash Flows from Operating Activities -Indirect Method is shown below:

Cash flow from Operating activities

Net loss -$9,473

Add: depreciation $33,350

Less: Increase in Receivables -$179

Add: Decrease in Inventory $661

Less: Increase in Prepaid Expenses -$673

Less: Decrease in Accounts Payable -$2,291

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7 0

3 years ago

Transmissions are delivered to the fabrication line five at a time. It takes two hours for transmissions to be delivered. Approx

Leokris [45]

Answer:

The Number of kanban card sets is 2.

Explanation:

c = 5

T = 2 hours

d = 3 vehicles/hour

N = d*T(1 + ss)/C

= 3*2(1 + 0.30)/5

= 1.56

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3 years ago

Suppose the comparative balance sheets of Windsor, Inc. are presented here. WINDSOR, INC. Condensed Balance Sheet May 31 ($ in m

umka2103 [35]

Answer:

since there is not enough room here, I prepared the comparative balance sheets on an excel spreadsheet.

Explanation:

WINDSOR, INC.

May 31 2017 2016

($ in millions)

Assets

Current Assets $9,520 $8,720

Property, plant, and equipment (net) $2,010 $1,870

Other assets $1,550 $1,610

Total assets $13,080 $12,200

Liabilities and Stockholders' Equity

Current Liabilities $3,210 $3,320

Long-term liabilities 1,210 1,290

Stockholders' equity 8,660 7,590

Total liabilities and stockholders' equity $13,080 $12,200

Download pdf

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3 years ago