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Lana71 [14]
3 years ago
10

On its year 1 financial statements, Seatax Corporation, an accrual-method taxpayer, reported federal income tax expense of $570,

000. On its year 1 tax return, it reported a tax liability of $650,000. During year 1, Seatax made estimated tax payments of $700,000. What book-tax difference, if any, associated with its federal income tax expense should Seatax have reported when computing its year 1 taxable income? Is the difference favorable or unfavorable? Is it temporary or permanent?
Business
1 answer:
Nookie1986 [14]3 years ago
7 0

Answer: $570000

Explanation:

The book-tax difference, that's associated with its federal income tax expense that Seatax should have reported when computing its year 1 taxable income will be $570000.

It should be noted that the $570000 for the book tax difference is permanent as it isn't reversible for.the next fiscal period.

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Sometimes employees have different opinions about how things should be done, or simply have a personality conflict, and then Can
erma4kov [3.2K]

Answer:

<u>disturbance handler role of management</u>

Explanation:

Note that a manager <u><em>not only</em></u> directs employees but also resolves disputes among employees. In this scenario, Candace plays the disturbance handler role of management which involves a manager to fairly use his position of authority to resolve conflicts among employees.

3 0
3 years ago
You have agreed to paint your neighbor's house a lovely shade of chartreuse for $1500 and discover much to your dismay that the
Maslowich

Answer:

fixed price contract

Explanation:

Based on the information provided within the question it can be said that the neighbor most likely transferred risk with a fixed price contract. This refers to a contract that whose price is fixed at a set amount which does not depend on resources or time spent to complete the contract. Therefore it does not matter how much time or money the painter has to spend on tools, he must complete by the terms of the contract for the $1500 that were agreed upon.

4 0
3 years ago
Mr. and Mrs. Kim, married filing jointly, own a principal residence and a vacation home. Each residence is subject to a mortgage
Evgen [1.6K]

Answer:

$53,577

Explanation:

Computation for Mr. and Mrs. Kim's qualified residence interest

Using this formula

Qualified residence interest=(Acquisition debt ÷ Total debt) ×Total interest

Where,

Total Acquisition=$ 969,800+ 361,000

Total Acquisition=$1,330,800

Total debt =$ 45,000 +26,300

Total debt=$71,300

Let plug in the formula

Qualified residence interest=(1,000,000÷$1,330,800)×$71,300

Qualified residence interest=$53,577

Therefore the Qualified residence interest is $53,577

3 0
3 years ago
Which of these best fits the definition of interest, as it applies to finance? a. interest is the money earned by investing. b.
ladessa [460]

The definition for interest in terms of finance is interest is the cost of borrowing. Therefore the correct option is (B).

<h3>What is Finance?</h3>

Finance refers to the money or the funds required by the company to undertake the business projects. Here, finance is the separate field of the study taught to the management students.

Interest refers to the amount charged to the borrower to the lender on the loan facility provided to them. Every lender charges the rate of the interest according to his will.

Bank also charge the rate of the interest on the loan provided to the customer. Therefore the correct option is (B).

Learn more about Finance here:

brainly.com/question/12459778

#SPJ1

6 0
2 years ago
A firm is considering a project with an annual cash flow of $300,000. The project would have a five year life, and the company u
nignag [31]

Answer:

Hence, the the maximum amount the company could invest in the project is $1081432.86  and yes, the project should be accepted as the value is greater than initial investment.

Therefore, the correct option is b. $1,081,434

Explanation:

Here, maximum amount means the sum of present value of all cash inflows

So,

Present value = all Year cash inflows × Discounted factor of each year

where,

Year 1, year 2, year 3, year 4, and year 5 have same cash flows i.e. $300,000

But the discounted factor is different in each year

The calculation of discounted factor = 1 ÷ (1+0.12) ^ 1

where,

0.12 = rate

^1 = for year 1, ^2 = for year 2 and so on.

The discounted rate for year 1, , year 2, year 3, year 4, and year 5 is 0.8929

, 0.7972

, 0.7118

, 0.6355

, 0.5674  respectively.

Now, multiply the cash flow amount with discounted rate for each year to get presented value of all years.

Year 1 = $300,000 × 0.8929 = $267,857.14

Year 2 = $300,000 × 0.7972 = $239,158.16

Year 3 = $300,000 × 0.7118  = $213,534.07

Year 4 = $300,000 × 0.6355 = $190,655.42

Year 5 = $300,000 × 0.5674  = $170,228.06

Then, sum all the presented values of all year to get maximum amount

= $267,857.14  +  $239,158.16  + $213,534.07  + $190,655.42  + $170,228.06

= $1,081,432.86

So, we attached the sheet for better understanding.

Hence, the the maximum amount the company could invest in the project is $1081432.86  and yes, the project should be accepted as the value is greater than initial investment.

Therefore, the correct option is b. $1,081,434

7 0
3 years ago
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