Lucky Mae Company incurred research and development costs in 2020 as follows: Equipment acquired for various researches and development projects P1,400,000; Depreciation on the above equipment P140,000; Materials used P136,000; Compensation cost for personnel P450,000; Outside consulting fees P87,000; Indirect costs appropriately allocated P120,000. What is the total research and development cost charged in Lucky Mae's Income Statement?

Q: For fiscal year 2021, ABC Corporation, a retailer, has PL4 billion in gross sales, P560 million in…

A: Income tax due is the amount being paid by the taxpayer or the business owner over the net income…

Q: Sheridan's net income is O 27500. O 30000. O $ 98000. O $46000.

A: Net Income = Sales Revenue - Cost of Goods Sold - Operating Expenses - Loss on Sale of Equipment…

Q: Lucky Mae Company incurred research and development costs in 2020 as follows: Equipment acquired for…

A: Research and development costs are costs incurred in searching and making innovations for developing…

Q: During the years 31 December 2018, 2019, 2020 motor division worth RM50,000 and fixtures worth…

A: Fixed Asset Turnover: It measures  business's return on  investment in property, plant, and…

Q: Use the information for Kemper Company from BE9.7. In 2021, Kemper paid $1,000,000 to obtain the raw…

A: Given information is: In 2021, Kemper paid $1,000,000 to obtain the raw materials which were worth…

Q: For 2019, Nirvana Industries disclosed cash revenue of $12.0 million and cash expenses of $6.0…

A: CASH REVENUE = $12.0 million CASH EXPENSES= $6.0 million DEPRECIATION =$2.0million CAPITAL…

Q: On its annual income statement, Star Laboratories reported research and development expense of…

A: The income statement shows the company's income and expenses over some time.Net profit arises when…

Q: (a) Sandra Corporation purchased $780,000 of its bonds on June 30, 2020, value of the bonds on the…

A: a) Journal Entry     Debit$ Credit$ Bond payable 780,000   Loss on bond redemption (…

Q: On January 1, 2021, Company Ltd. decided to sell one of its processing plants located in New York.…

A: The income statement is prepared by the business organization so as to know how much amount of Gross…

Q: MAR Corporation, a manufacturer, has a gross sales of P90,000,000.00 for YER 2021, its fifth year of…

A: Solution: MAR Corporation, a manufacturer for YER 2021. Gross sales = P90000000 in its 5th year of…

Q: On January 1, 2020, Seabreeze Construction Company owned 4 dump trucks, 2 excavators and other…

A: In order to determine the net investment, the depreciation is required to be deducted from the gross…

Q: Westfall Industries began 2021 with its accounts receivable, inventory, and prepaid expenses…

A: The cash flow statement is prepared to record the cash flow from various activities during the…

Q: The depreciation charges for the year to 31 March 2021 are to be apportioned as follows: Cost of…

A: Allocation of Expenses = Expense can be allocated according the decided according the different…

Q: In 2021, Segment X of Special Company had sales of P5,000,000 (represents30% of the total company’s…

A: Gross profit is simply, the difference between the total revenue and cost of sales. Net profit is…

Q: Sales are 5,750,000. COGS are 4,850,000.  SG&A Overhead is 400,000. Depreciation is 84,000.…

A: Solution:- Calculation of taxable income as follows under:-

Q: The income statement of Mid-South Logistics includes $12 million for amortized prior service cost.…

A:

Q: Aurora Trucking's 2023 balance sheet showed net fixed assets of $2.4 million, while its 2022 balance…

A: Net fixed assets in 2023 = $2,400,000 Net fixed assets in 2022 = $2,300,000Depreciation expenses in…

Q: Useful Life Fixed Assets Cost Accounting Fiscal Land 2,000,000,000 1,800,000,000 50 Building Factory…

A: Deferred tax: Deferred tax is the tax effect of the timing difference. The difference between…

Q: During the first semester of 2021, VIOLET Company sold a piece of equipment at a ₱12,000 gain. What…

A: Here given the details of the gain which are arised while sale of the equipment and its reporting…

Q: In 2021, PacMan Inc. had a net operating profit after-taxes of P20,000,000 and an effective tax rate…

A: Operating expenses are those expenses which are incurred for operating the business. It does not…

Q: At 1 January 2020, the revaluation surplus of Bloxden was P1,257,000. This was in respect of the…

A: Impairment loss on an Asset can be set off against Revaluation surplus to the extent of revaluation…

Q: A company began operations on January 1, 2020. Purchases of property, plant and equipment during…

A: The depreciation expense is the decrease in the value of fixed assets as a result of wear and tear,…

Q: In 2021, Bulldogs Inc. had a net operating profit after-taxes of P20,000,000 and an effective tax…

A: Net operating profit after taxes = P 20,000,000 Tax rate (T) = 20% EBITDA = P 45,500,000 Net income…

Q: Crane Corp. incurred the following costs during 2023 in connection with its research and development…

A: IAS 38 Intangible assets provides guidelines regarding accounting of intangible assets.An intangible…

Q: 10. In 2021, Segment X of Special Company had sales of P5,000,000 (represents 30% of the total…

A: Profit is the amount earned by an entity or segment after deduction of all the outlays and losses…

Q: ABC Ltd has the following land and buildings in its financial statements as of 30 June 2022:…

A: Revaluation of Assets means a change in the market value of assets, whether it is increasing or…

Q: Consider the following information: Effective gross income (EGI) was $40 million; the deprecation…

A: Taxable income refers to the amount based on which the amount of taxes to be paid is determined.…

Q: What is the net income?

A: Cost accounting means where every cost of doing business is recorded in necessary account and cost…

Q: The income statement of Mid-South Logistics includes $12 million for amortized prior service cost.…

A:

Q: During 2021, Sheridan Co. incurred the following costs: Testing in search for process alternatives…

A: Please find the answer to the above question below:

Q: OI Corporation, a manufacturer, has a gross sales of P90,000,000.00 for CY 2021, its fifth year of…

A: Solution: JOI Corporation, a manufacturer for CY 2021, Gross sales = P90000000 in its 5th year of…

Q: In 2023, Amalgamated Industries' net fixed assets decreased from $380,000 to $260,000. depreciation…

A: Net decrease in fixed assets = Ending net fixed assets - Beginning net fixed assets=…

Q: Alzparker Company constructed a building at a total actual cost of $30,000,000. Weighted-average…

A: The objective of the question is to calculate the capitalized cost of the building constructed by…

Q: For fiscal year 2021, ABC Corporation, a retailer, has P1.4 billion in gross sales, P560 million in…

A: Income tax due is the amount being paid by the taxpayer or the business owner over the net income…

Q: In 2021, PacMan Inc. had a net operating profit after-taxes of P20,000,000 and an effective tax rate…

A: Operating profit is the operating revenues of the business after deducting operating expenses of the…

Deferred Tax

Deferred tax is an estimated future tax which is made while preparing accounts. It is estimated as a result of past and present transactions in the financial statements. It is not the actual tax which needs to be paid or refundable from the revenue authority, it is an accounting entry. It exists because of the difference between accounting profits and taxable profits.