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-Dominant- [34]
3 years ago
14

Which of these results in a lower net income?

Business
2 answers:
kozerog [31]3 years ago
7 0
I think the correct answer from the choices listed above is the third option. It is the withholdings that result in a lower net income. <span>A </span>withholding<span> tax, also called a retention tax, is a government requirement for the payer of an item of income to </span>withhold<span> or deduct tax from the payment, and pay that tax to the government. </span> 
Stella [2.4K]3 years ago
6 0
Hello there,

<span>Which of these results in a lower net income?
</span>
<span>withholdings</span>
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Answer:

Loss on exchange is -$7,800

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Explanation:

The amount of gain or loss recognizable on the exchange is the difference between the fair value of the old asset and  its book value

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Initial value of the new tractor=$32,000+$10,200=$42,200

If fair value were $26,000

gain on the exchage=$26,000-$18,000=$8,000

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