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- TRUE OR FALSE Overtime pay is part of deductions. 7. Taxes are added in the deductions. 8. Other benefits and payment of loans are deducted from the gross earnings. 9. If the total deduction is 0, then it follows that gross earnings is non-taxable. _10. If the gross deductions is more than the net earnings, then the net earnings is more than half of the gross earnings. 11. If total earnings is thrice of the deduction, then the net pay is twice of the deduction. _12. The sum of the deduction to and net pay sometimes equal to the total earnings. _13. If the total earnings is total to the deduction, then the net pay is twice as much as the deduction. _14. All wage earners can avail all benefits of a wage earner. _15. The total earnings of any employee is not always equal to the basic pay. _16. An employer can give 14th month pay to all of his employees that is equivalent to the 13th month pay. _17. Living allowance is a must benefits given to all employees. 18. A pregnant…I need all solution....Which of the following statements related to loss carryback is NOT correct? O The company may carry the net operating loss back two years and receive refunds for income taxes paid in those years. O The company may carry the net operating loss back three years and receive refunds for income taxes paid in those years. O The company may carry forward any loss remaining after the two-year carryback to offset future taxable income. O The company must apply the loss to the earlier year first and then to the second year.
- If net income before tax is 60000 OMR, tax is 2000 OMR, interest is 1500 OMR, depreciation is 1500 OMR and amortization is 1000 OMR, the EBITDA is: Select one: O a. 64000 OMR O b. Correct answer is not available O c. 62000 OMR O d. 66000 OMROperating loss carryforward occurs when an entity has a negative taxable income. Required: True or FalseThe key difference between rental income assessed under S10(1)(a) and S10(1)(f) is: a. The S10(1)(a) rental loss can be offset with other rental income b. The S10(1)(a) is not eligible for capital allowances c. The S10(1)(a) loss will be disregarded d. There is no difference between them
- A company experiences a net operating loss of $80,000 in year 1. In year 2, the company reports taxable income of $60,000. How much of the taxable income will the company offset in year 2 by applying the net operating loss from year 1? O $60,000 O $48,000 O $80,000 O Cannot be determined because the tax rate is not given.6Which of the following is true? (a) Tax rates are based on two flat-rate schedules, one for individuals and one for businesses. (b) When businesses subtract expenses, they always include capital costs. (c) For businesses, taxable income is total income less depreciation and ordinary expenses. (d) When quantifying depreciation allowance, one must always divide first cost by MACRS 3-year life.
- Please Do not Provided solution in image formatSave & Exit Subm Two independent situations are described below. Each involves future deductible amounts and/or future taxable amounts produced by temporary differences: SITUATION Taxable income Amounts at year-end: Future deductible amounts 2. $46,000 $86,000 5,600 10,600 0 5,600 Future taxable amounts Balances at beginning of year, dr (cr): Deferred tax asset, Deferred tax liability $ 1,000 $ 3,180 0 1,000 The enacted tax rate is 30% for both situations. Required: For each situation determine the: SITUATION 2. (a.) Income tax payable currently. (b.) Deferred tax asset - balance at year-end. (c.) Deferred tax asset change dr or (cr) for the year. (d.) Deferred tax liability - balance at year-end. (e.) Deferred tax liability change dr or (cr) for the year. (f.) Income tax expense for the year. Next > 31 of 39Four independent situations are described below. Each involves future deductible amounts and/or future taxable amounts produced by temporary differences reported first on: (1) (2) (3) (4) Income Statement Revenue $ 22,500 $ 15,500 $ 15,500 Accounting income Temporary differences: Income statement first Expense Revenue Expense Tax return first: Revenue Expense Taxable income $ 22,500 $ 22,500 $ Required: For each situation, determine the taxable income assuming pretax accounting income is $100,000. Note: Amounts to be deducted should be indicated by a minus sign. (1) Revenue $ 22,500 Tax Return. 0 $ (2) Expense 0 $ $ 10,500 (3) 0 $ 0SEE MORE QUESTIONS
