Mac and June, who file as married filing jointly with a modified AGI of $430,000 and a tax liability of $20,000.
Option D
Explanation:
For every eligible minor child under the age of 17 at the end of the tax year, the Child Tax Credit is granted to US taxpayers. In December 2017, the recent tax legislation doubled the loan to 2,000 dollars per child, making much of it reimbursable. 1 It was a non-refundable bonus of $1,000 previously.
If the taxpayer is filing jointly then the claim of child tax credit will be up to the tax liability. Thus, Mac and June has tax liability of $20,000 and the maximum limit of child credit is $2,000. Thus, they can claim full $2,000 claim and reduce their liability to $18,000.
Answer:
B. brand equity
Explanation:
Brand equity is the value of a brand as a result of having recognition. If a company has a positive brand equity, consumers are willing to pay more its product than what they are willing to pay to the competition. According to this, Secret deodorants have more brand equity than comparable store brand deodorants as consumers are willing to pay $2.99 for Secret and $1.99 for a functionally similar store brand.
Answer:
Sissie must report both operations separately, even though the gain in one of them does offset the loss on the other:
- selling of equipment A: reported gain (increased ordinary income) of $22,510 ($60,000 - $37,490)
- selling of equipment B: reported ordinary loss of $14,490 ($23,000 - $37,490)
The effect of both transactions is a net gain of $8,020 that will increase Sissie's ordinary income.
Explanation:
Both assets are § 1231 assets, and § 1245 allows deprecation recapture on the sale of equipment A, so the gain must be considered ordinary income. The loss on the sale of equipment B is a § 1231 loss which must be treated as an ordinary loss.
Answer:
at the end
Explanation:
Adjusting entries are made at the end of an accounting period after a trial balance is prepared to adjust the revenues and expenses for the period in which they occurred.
