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makkiz [27]
3 years ago
10

g had reported a deferred tax asset of $130 million with no valuation allowance. At December 31, 2021, the account balances of R

oss showed a deferred tax asset of $170 million before assessing the need for a valuation allowance and income taxes payable of $90 million. Ross determined that it was more likely than not that 30% of the deferred tax asset ultimately would not be realized. Ross made no estimated tax payments during 2021. What amount should Ross report as income tax expense in its 2021 income statement
Business
1 answer:
andrew-mc [135]3 years ago
5 0

Answer: $101 million

Explanation:

The amount that Ross should report as income tax expense in its 2021 income statement will be calculated thus:

First, we'll calculate the deferred tax asset in valuation allowance which will be:

= Deferred tax asset before valuation allowance - Deferred tax asset after valuation allowance

= $170 million - $130 million

= $40 million

Then, income tax expense will be:

Income taxes payable= $90 million

Add: DTA not be realized = $170 million × 30% = $51 million

Less: Deferred tax asset in valuation allowance = ($40 million)

Income tax expense = $101 million

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The descriptions below give the responses of four individuals to a Bureau of Labor Statistics (BLS) survey of employment. Use th
aleksley [76]

<u>Explanation:</u>

A. This is the case of Cyclical unemployment here lorraine is just graduated and does not find any job inspite of applying with many of the employers. Here the economic condition of the country is below its full capacity.

B. It is example of potential frictional unemployment as George takes time to move on from current job to a part time job. Frictional unemployment is the time taken to move from one job to another.

C. This is an example of structural and technological unemployment as there is a mismatch between the labor market required skills and the skills of the candidate. Christine has bank teller skills but it is not matched with skills expected by banks.

D. It is called as frictional unemployment where Ricardo is out of job due to lay off by the company. The period between a jobless situation and job is frictional unemployment.

5 0
2 years ago
How do you know you need to become a better test taker? A. You always get nervous before a test., B. You usually do better on ce
Tamiku [17]

Answer:

PREPARING FOR THE TEST. The key to confidence in anything is preparation, and tests are no different. ...

KNOW HOW YOU LEARN. ...

MAKE A PLAN. ...

FIND A BUDDY. ...

REVIEW MATERIAL. ...

REST & EAT. ...

HANDLING ANXIETY. ...

TAKING THE TEST.

Explanation:

7 0
2 years ago
You purchased shares of stock one year ago at a price of $62.37 per share. During the year, you received dividend payments of $1
andreyandreev [35.5K]

Answer:

real rate of return= 10.93%

Explanation:

The return on equity is the sum of the dividends earned and capital gains made during the holding period of the investment.

Dividend is the proportion of the profit made by a company which is paid to shareholders.  

Capital gains is another type of the return made on an equity investment as a result of increase in the value of the shares. It is difference between the cost of the share and the value at the time of disposal.

Therefore, we can can compute the return on the investment as follows:

Capital gain =  $69.49- 62.37 = 6.92

Dividend -= 1.77

Nominal return on stock= (1.77 + 6.92)/ 62.37 × 100 =  13.93 %

Inflation is the increase in the price level.It erodes the value of money.rise in the price of money  

Nominal interest is that quoted for investment or loan transactions. It has not been been adjusted for inflation.  

Real interest rate is the amount of interest in terms of the the quantity of good and services that can be purchased. It is the nominal interest rate adjusted for inflation.  

The relationship between inflation, real return and nominal return rate is given using the Fishers Effect;  

N = ( (1+R) × (1+F)) - 1  

N- nominal rate, R-real rate, F- inflation  

real rate of return = (1.1393)/ (1.027)- 1 = 0.1093

real rate of return = 0.1093 × 100 = 10.93%

real rate of return= 10.93%

8 0
3 years ago
Sophie Company is considering closing one of its product lines. Current data on the product line are as follows. Sales revenue $
suter [353]

Answer:

Company's net income will increase by $2500 if the product line is discontinued.

Explanation:

From the data given:

Sales                                      25000

variable cost (less)                 19000

contribution margin               6000

Fixed costs

directed fixed costs                7000

allocated fixed costs               5000

net income                             -6000

Fixed cost savings                   7000

rental revenue                           1500

total savings if discontinued    8500

contribution margin (less)         6000

net income increased by          2500

5 0
3 years ago
Sarah Mayer works as a security officer and is in charge of keeping track of who is in the office at any given time. She notices
larisa86 [58]

Answer:

Letter C is correct. <u>Behavioral.</u>

Explanation:

Attitudes in a workplace correspond to the way an individual will react to a particular situation. It may occur with other people's evaluation, problems and events, and may have a positive or negative character.

The behavioral component exemplified in the above question, is characterized as the intentions of an individual, are the tendencies of how an individual will behave towards an object in the short and long term.

4 0
2 years ago
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