share Capital Paid-In Capital 8% Preference Shares - $200 par, 10,000 sahres authorized, issued and Joutstanding 1,600,000 Ordinary Shares - $50 par, 30,000 shares authorized and Jissued and| Joutstanding 1,250,000 Subscribed preference shares, 1,000 shares 200,000 1,470,000 Additional Paid-In Capital Share Premium, 8% Preference Shares 240,000 Share Premium, Ordinary Shares Total Paid-In Capital 345,000 3,415,000 Less: Treasury Stock - 8% Preferred Shares, 1,000 shares, at cost 242,000 Total Share Capital Retained Earnings Total Stockholder's Equity 880,000 4,075,000

Q: How to calculate the indexed cost base for capital gains tax

A: SOLUTION- CAPITAL GAIN TAX- IT IS A TYPE OF TAX APPLIED  TO THE PROFITS EARNED ON THE SALE OF AN…

Q: By what amount did working capital change?

A: Working capital is the excess of current assets over current liabilities. Working capital = Current…

Q: How to calculate capital gain tax

A: Capital gain is one of the income heads under the Income Tax Act. It includes the gains arising to…

Q: Describe the procedures for determining after-tax net cash flows in taxable situations?

A: Net cash flow after tax is an important measure used for the purpose of evaluation of company's…

Q: What are long-term capital gains? Are they taxed like other income? Explain.

A: A long-term capital gain or loss is the gain or misfortune coming about because of the selling of…

Q: How can we determine ordinary gains and capital gains?

A: Answer: In the course of normal business, an ordinary gain is income. The gain or loss of foreign…

Q: What is a taxable gift?

A: Gift tax: When a person transfers a property to another person without any consideration then such…

Q: Why is share in a considered a is perpetuit

A: In finance a perpetuity refers to that financial asset or that financial security that goes on…

Q: What are FUTA and SUTA taxes? Is there any possible reduction in the FUTA tax rate? If so, what is…

A: Introduction: Employer payroll taxes are paid by the employer from its own funds on the basis of…

Q: Illustrate what is incremental tax rate?

A: Definition: Tax: Tax is the compulsory legal payment that is imposed by the government.…

Q: How do you reduce taxes by contribution to a define contribution plan?

A: Defined contribution plan: These are the retirement plans wherein the employee and/or the…

Q: What is the difference between a ‘net capital gain’ and a ‘capital gain, and between a ‘net capital…

A: The question is related to Capital Gain head. Capital gain means any profit or gain arising out of…

Q: Explain Transfer of Property or a Beneficial Interest in Borrower?

A: The question is based on the agreement of Mortgage loan in real estate deal.

Q: What is Income tax receivables?

A: Other receivables: Other receivables are the receivables other than the accounts receivable, and the…

Q: What are the deductibility of real property taxes

A: Property taxes and real property taxes are interchangeable terms. They are levied on the majority of…

Q: An example of investment income that would be subject to the net investment income tax is: A. Rental…

A: Answer:-  Net investment income:- For the taxation purpose net investment income is the total…

Q: Define capital gain (loss)

A: Whenever an asset is sold, the seller incurs either a profit or a loss. The asset may be a real…

Q: What are the additional income taxes?

A: Income tax: Income tax is a tax levied on an individual’s income (taxable income). It is a direct…

Q: What is a tax return? brief explain

A: Tax return in a form designed by designated tax authorities which helps taxpayers to disclose their…

Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.