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asambeis [7]
3 years ago
5

Cantlay, Inc., earns pretax book net income of $800,000 in 2019. Cantlay acquires a depreciable asset that year, and first-year

tax depreciation exceeds book depreciation by $80,000. Cantlay reported no other temporary or permanent book-tax differences. The pertinent U.S. Federal corporate income tax rate is 21% and Cantlay earns an after-tax rate of return on capital of 8%. What is Cantlay’s current income tax expense for the year?
Business
1 answer:
RideAnS [48]3 years ago
6 0

Answer:  $151,200

Explanation:

The Tax depreciation exceeds book depreciation so this excess will have to be removed from the income before tax is calculated as it is tax deductible.

Current Income Tax = (Pretax book income - Excess tax depreciation) * Income tax rate

= (800,000 - 80,000) * 21%

= $151,200

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A ________ exists when paid staff conduct most of the daily business of a group.
olchik [2.2K]
The appropriate response is staff organization. It is a kind of participation gathering in which an expert staff directs the vast majority of the gathering's exercises. In this sort of association, the practical authorities are added to the line, accordingly giving the line the upsides of masters. The staff is fundamentally counseling in nature and normally does not have any summon expert over line administrators.
8 0
3 years ago
Which of the following clauses states that full payment of damages to structures under the homeowners policy will be made only i
Andrews [41]

Answer: coinsurance clause

Explanation:

A coinsurance clause is a provision in the home insurance policy which requires the individual to carry coverage that is worth a certain percentage of the home's value. The failure to meet requirement will reduces the compensation after a loss.

Under the coinsurance clause, the insurance company will reimburses the value of damages to an insured asset for at least 80% of the replacement value of the asset. The reinsurance clause allows an insurer to take the reinsurance based on the original insurance.

3 0
4 years ago
Uses the same underlying philosophy as shortest job next, where the shortest jobs are processed first and longer jobs are made t
Firlakuza [10]
Yes, that seems like a prudent decision.  Maybe provide more information?
6 0
3 years ago
2019 2018 2017 2016 2015 Sales $ 282,880 $ 270,800 $ 252,600 $ 234,560 $ 150,000 Cost of goods sold 128,200 122,080 115,280 106,
zhuklara [117]

Answer:

Sales

2019 Net Sales = 188.59%

2018 Net Sales = 180.53%

2017 Net Sales = 168.4%

2016 Net Sales = 156.37%

Cost of Goods Sold

2019Cost of Goods Sold = 191.34%

2018 Cost of Goods Sold = 182.21%

2017 Cost of Goods Sold = 172.06%

2016 Cost of Goods Sold = 158.87%

Accounts Receivable:

2019 Accounts Receivable = 201.11%

2018Accounts Receivable = 192.22%

2017Accounts Receivable = 182.22%

2016Accounts Receivable = 168.89%

Explanation:

Computation forn trend percents for the above accounts, using 2015 as the base year:

FOR SALES:

2019:

Net Sales = Sales 2019 / Sales 2015*100

Net Sales = $282,880 / $150,000 * 100

Net Sales = 188.59%

2018:

Net Sales = Sales 2018 / Sales 2015*100

Net Sales = $270,800 / $150,000 * 100

Net Sales = 180.53%

2017:

Net Sales = Sales 2017 / Sales 2015*100

Net Sales = $252,600 / $150,000 * 100

Net Sales = 168.4%

2016:

Net Sales = Sales 2016 / Sales 2015*100

Net Sales = $234,560 / $150,000 * 100

Net Sales = 156.37%

COST OF GOODS SOLD:

2019:

Cost of Goods Sold = Cost of Goods Sold 2019 / Cost of Goods Sold 2015 *100

Cost of Goods Sold = $128,200 / $67,000 * 100

Cost of Goods Sold = 191.34%

2018:

Cost of Goods Sold = Cost of Goods Sold 2018 / Cost of Goods Sold 2015 *100

Cost of Goods Sold = $122,080 / $67,000 * 100

Cost of Goods Sold = 182.21%

2017:

Cost of Goods Sold = Cost of Goods Sold 2017 / Cost of Goods Sold 2015 *100

Cost of Goods Sold = $115,280 / $67,000 * 100

Cost of Goods Sold = 172.06%

2016:

Cost of Goods Sold = Cost of Goods Sold 2016 / Cost of Goods Sold 2015 *100

Cost of Goods Sold = $106,440 / $67,000 * 100

Cost of Goods Sold = 158.87%

ACCOUNTS RECEIVABLE:

2019:

Accounts Receivable = Accounts Receivable 2019 / Accounts Receivable 2015 * 100

Accounts Receivable = $18,100 / $9,000 * 100

Accounts Receivable = 201.11%

2018:

Accounts Receivable = Accounts Receivable 2018 / Accounts Receivable 2015 * 100

Accounts Receivable = $17,300 / $9,000 * 100

Accounts Receivable = 192.22%

2017:

Accounts Receivable = Accounts Receivable 2017 / Accounts Receivable 2015 * 100

Accounts Receivable = $16,400 / $9,000 * 100

Accounts Receivable = 182.22%

2016:

Accounts Receivable = Accounts Receivable 2016 / Accounts Receivable 2015 * 100

Accounts Receivable = $15,200 / $9,000 * 100

Accounts Receivable = 168.89%

8 0
3 years ago
Lower-of-Cost-or-Market
RSB [31]

Answer:

1-a. The total amount to be assigned to the ending inventory under FIFO is $300.

1-b. The total amount to be assigned to the ending inventory under Weighted-average is $242.50.

2-a. The total amount to be assigned to the ending inventory under FIFO lower-of-cost-or-market is $260.

2-b. The total amount to be assigned to the ending inventory under weighted-average lower-of-cost-or-market is $242.50.

Explanation:

1-a. Calculate the total amount to be assigned to the ending inventory under FIFO.

First In First Out (FIFO) method, the units purchased first are sold first and the units purchased last are sold last.

Since there are 10 units of inventory on hand on December 31 and Dec. 8 3rd purchase has 10 units, this implies that the total amount to be assigned to the ending inventory is $300 which is total amount of units of Dec. 8 3rd purchase.

Therefore, the total amount to be assigned to the ending inventory under FIFO is $300.

1-b. Calculate the total amount to be assigned to the ending inventory under Weighted-average (round calculations to two decimal places.).

Total cost = $970

Total units = 40

Weighted-average per unit = Total cost / Total units = $970 / 40 = $24.25

Cost of ending inventory = Weighted-average per unit * Units of ending inventory = $24.25 * 10 = $242.50

Therefore, the total amount to be assigned to the ending inventory under Weighted-average is $242.50.

2-a. Calculate the total amount to be assigned to the ending inventory under FIFO lower-of-cost-or-market.

Market price per unit = $26

Total amount of ending inventory using market price per unit = Market price per unit * Units of ending inventory = $26 * 10 = $260

Total amount of ending inventory using FIFO = $300

FIFO lower-of-cost-or-market = Total amount of ending inventory using market price per unit = $260

Therefore, the total amount to be assigned to the ending inventory under FIFO lower-of-cost-or-market is $260.

2-b. Calculate the total amount to be assigned to the ending inventory under Weighted-average lower-of-cost-or-market.

Market price per unit = $26

Total amount of ending inventory using market price per unit = Market price per unit * Units of ending inventory = $26 * 10 = $260

Total amount of ending inventory using weighted-average = $242.50

Weighted-average lower-of-cost-or-market = Total amount of ending inventory using weighted-average = $242.50

Therefore, the total amount to be assigned to the ending inventory under weighted-average lower-of-cost-or-market is $242.50.

4 0
3 years ago
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