Explanation:
Because those payments are done for creditors, repayment of loans and other expenses
Answer:
D) $600,000
Explanation:
The double-declining-balance method of depreciation = Depreciation factor x cost of asset
Depreciation factor = 2 x (1/useful life of the asset)
Depreciation factor = 2 / 5 = 0.4
Deprecation expense = 0.4 x $1,500,000 = $600,000
I hope my answer helps you
Answer:
Pre-tax book income $265,000
Less depreciation additional charge $14,500
Taxable income $250,500
Tax liability at 30% = $75,150
