Corporate Tax Rate ScheduleTax calculationRange of taxable incomeBase tax(Marginal ratex amount over base bracket)$0 to(15%(25%(34%(39%(34%(35%(38%(35%$50,000$0$0)50,000)75,000)100,000)335,000)10,000,000)15,000,000)18,333,333)+x amount over50,000 to75,0007,500x amount over+75,000 to100,000 to100,00013,75022,250x amount overx amount over+335,000335,000 to10,000,000113,900x amount over10,000,000 to15,000,0003,400,000x amount over15,000,000 to18,333,3335,150,000x amount overOver 18,333,3336,416,667x amount over+ Average corporate tax rates Using the corporate tax rate schedule given here i, perform the following:a. Calculate the tax liability, after-tax earnings, and average tax rates for the following levels of corporate earnings before taxes: $12,000; $81,300; $295,000; $502,000; $1.7 million; $9.1million; and $20.3 million.b. Plot the average tax rates (measured on the y axis) against the pretax income levels (measured on the x axis). What generalization can be made concerning the relationship betweenthese variables?....a. Find the marginal tax rate for the following levels of corporate earnings before taxes: $12,000; $81,300; $295,000; $502,000; $1,700,000; $9.1 million; and $20.3 million.The tax liability for earnings before taxes of $12,000 is $ 1800 . (Round to the nearest dollar.)The after-tax earnings on $12,000 are $ 10200. (Round to the nearest dollar.)The average tax rate for the $12,000 in pretax earnings is 15 %. (Round to one decimal place.)The tax liability for earnings before taxes of $81,300 is $(Round to the nearest dollar.)

The total amount of tax debt owed by an individual, corporation, or other entity to a taxing…

Answered: The tax liability for earnings before…

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The tax liability for earnings before taxes of $81,300 is $ (Round to the nearest dollar.)

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Am.101.
Use the 2016 marginal tax rates to compute the tax owed by the following person. A head of household with a taxable income of $89,000 and a $7000 tax credit Click the icon to view the 2016 marginal tax rates. The tax owed is $ (Type an integer or a decimal. Round to the nearest cent as needed.) 2016 Marginal Tax Rates Tax Rate 10% 15% 25% 28% 33% 35% 39.6% 2016 Marginal Tax Rates, Standard Deductions, and Exemptions Married and each partner files a separate tax return Unmarried, divorced, or legally separated Single up to $9275 $9276 to $37,650 $37,651 to $91,150 $91,151 to $190,150 $190,151 to $413,350 $413,351 to $415,050 more than $415,050 $6300 Standard Deduction Exemptions (per $4050 person) Married Filing Separately Married Filing Jointly up to $9275 up to $18,550 $9276 to $37,650 $18,551 to $75,300 $37,651 to $75,950 $75,301 to $151,900 $75,951 to $115,725 $151,901 to $231,450 $115,726 to $206,675 $231,451 to $413,350 $206,676 to $233,475 $413,351 to $466,950 more than $233,475…
On December 31, 2023, XYZ Inc. has an account payable of $2,000 for operating expenses incurred during the year. These expenses are only tax deductible when paid. XYZ normally pays for its operating expenses one month after they are incurred. Assuming a 20% tax rate, these expenses will result in: Multiple Choice О A deferred tax liability of $2,000. A deferred tax liability of $400. A deferred tax asset of $400. A deferred tax asset of $2,000.
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Am. 111.
Arndt, Inc. reported the following for 2021 and 2022 ($ in millions): 2021 2022 Revenues $ 888 $ 980 Expenses Pretax accounting income (income statement) Taxable income (tax return) 760 800 $ 128 $ 116 $ 180 $ 200 Tax rate: 25% a. Expenses each year include $30 million from a two-year casualty insurance policy purchased in 2021 for $60 million. The cost is tax deductible in 2021. b. Expenses include $2 million insurance premiums each year for life insurance on key executives. c. Arndt sells one-year subscriptions to a weekly journal. Subscription sales collected and taxable in 2021 and 2022 were $33 million and $35 million, respectively. Subscriptions included in 2021 and 2022 financial reporting revenues were $25 million ($10 million collected in 2020 but not recognized as revenue until 2021) and $33 million, respectively. Hint View this as two temporary differences-one reversing in 2021; one originating in 2021. d. 2021 expenses included a $14 million unrealized loss from reducing…
D3
Required Answer each of the following questions by providing supporting computations. 1. Assume that the company’s income tax rate is 30% for all items. Identify the tax effects and after-tax amounts of the three items labeled pretax. 2. Compute the amount of income from continuing operations before income taxes. What is the amount of the income tax expense? What is the amount of income from continuing operations? 3. What is the total amount of after-tax income (loss) associated with the discontinued segment? 4. What is the amount of net income for the year?
Using the tax rate schedule given here LOADING..., perform the following: a. Find the marginal tax rate for the following levels of sole proprietorship earnings before taxes: $ 15 000; $ 60 000; $ 90 000; $ 150 000; $ 250 000; $ 450 000; and $1 million. b. Plot the marginal tax rates (measured on the y-axis) against the pretax income levels (measured on the x-axis) $0 to $9,875 $0 (10% amount over $0) 9,876 to 40, 125 988 + (12% amount over 9, 876) 40, 126 to 85, 525 4,618 + (22% amount over 40, 126) 85,526 to 163, 300 14, 606 + (24% amount over 85, 526) 163, 301 to 207, 350 33, 272 + (32% amount over 163, 301) 207, 351 to 518, 400 47,368 (35% amount over 207, 351) 518,401 to Unlimited 156, 235 (37% amount over 518, 401)
1. If a company has a pre - tax accounting income of $1, 000, with interest revenue from municipal bonds totaling S500, and operates under a 20% tax rate, how would you record the journal entry?
Assume that the social security tax rate is 6% and the Medicare tax rate is 1.5%. In the following summary of data for a payroll period, some amounts have been intentionally omitted: Earnings: 1. At regular rate ? 2. At overtime rate $64,000 3. Total earnings ? Deductions: 4. Social security tax 30,240 5. Medicare tax 7,560 6. Federal income tax withheld 128,000 7. Medical insurance 17,640 8. Union dues ? 9. Total deductions 190,190 10. Net amount paid 313,810 Accounts debited: 11. Factory Wages 264,000 12. Sales Salaries ? 13. Office Salaries 110,000 Required: a. Determine the amounts omitted in lines (1), (3), (8), and (12). b. On December 19, journalize the entry to record the payroll accrual.* c. On December 20, journalize the entry to record the payment of the payroll.*
In early 2012, Cho-Sun's gross pay increased from $71,000 per year to $83,000 per year. Answer parts (a) and (b). Taxable Income (Income tax brackets) Tax Rates $44,701 or less 15% of taxable income less than or equal to $44,701; plus Over $44,701 up to $89,401 22% of taxable income greater than $44,701 and less than or equal to $89,401; plus Over $89,401 up to $138,586 26% of taxable income greater than $89,401 and less than or equal to $138,586; plus Over $138,586 29% of taxable income greater than $138,586 (a) What was the annual percent increase in Cho-Sun's pay before federal income taxes? nothing% (Round the final answer to two decimal places as needed. Round all intermediate values to six decimal places as needed.) (b) What was the annual percent increase in Cho-Sun's pay after federal income taxes were deducted? nothing% (Round the final answer to two decimal places as needed.…

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