The after-tax income for 20X2. Introduction: After tax income: It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

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Answer 1

Question

Chapter 3, Problem 31P

a.

Summary Introduction

To calculate: The after-tax income for 20X2.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

b.

Summary Introduction

To calculate: The percentage gain in income after tax due to a 10% increase in sales price and explain the reason for the impact this has.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

c.

Summary Introduction

To calculate: The after-tax income for 20X3.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

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The Canton Corporation shows the following income statement. The firm uses FIFO inventory accounting. Sales Cost of goods sold Gross profit Selling and administrative expense Depreciation Operating profit Taxes (30%) Aftertax income Aftertax income CANTON CORPORATION Income Statement for 20X1 $ 126,000 73,500 a. Assume in 20X2 the same 10,500-unit volume is maintained but that the sales price increases by 10 percent. Because of FIFO inventory policy, old inventory will still be charged off at $7.00 per unit. Also assume selling and administrative expense will be 6 percent of sales and depreciation will be unchanged. The tax rate is 30 percent. Compute aftertax income for 20X2. Note: Do not round intermediate calculations. Round your answer to the nearest whole number. Aftertax income increased by $ 52,500 7,560 12,700 $32,240 9,672 $ 22,568 b. In part a, by what percent did aftertax income increase as a result of a 10 percent increase in the sales price? Note: Do not round intermediate…

The following comparative information is available for Larkspur, Inc. for 2022. LIFO FIFO Sales revenue $91,000 $91,000 Cost of goods sold 40,000 31,600 Operating expenses (including depreciation) 27,000 27,000 Depreciation 10,000 10,000 Cash paid for inventory purchases 18,920 18,920 Determine net income under each approach. Assume a 30% tax rate. Net income $ LIFO FIFO Determine net cash provided by operating activities under each approach. Assume that all sales were on a cash basis and that income taxes and operating expenses, other than depreciation, were on a cash basis. Net cash provided by operating activities LIFO FIFO $ Calculate the quality of earnings ratio under each approach. (Round answers to 2 decimal places, e.g. 5.15.) LIFO Quality of earnings ratio FIFO

If Happy Corporation has cost of goods sold of P300,000, sales of P600,000, and inventory of P30,000, then the inventory turnover is _________ and the average age of inventory is _________. (Assume a 360-day year) 20; 18 c 10; 20 10; 36 d. 20; 36

Answer 2

Question

Chapter 3, Problem 31P

a.

Summary Introduction

To calculate: The after-tax income for 20X2.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

b.

Summary Introduction

To calculate: The percentage gain in income after tax due to a 10% increase in sales price and explain the reason for the impact this has.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

c.

Summary Introduction

To calculate: The after-tax income for 20X3.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

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Answer 3

Question

Chapter 3, Problem 31P

a.

Summary Introduction

To calculate: The after-tax income for 20X2.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

b.

Summary Introduction

To calculate: The percentage gain in income after tax due to a 10% increase in sales price and explain the reason for the impact this has.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

c.

Summary Introduction

To calculate: The after-tax income for 20X3.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

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Answer 4

Question

Chapter 3, Problem 31P

a.

Summary Introduction

To calculate: The after-tax income for 20X2.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

b.

Summary Introduction

To calculate: The percentage gain in income after tax due to a 10% increase in sales price and explain the reason for the impact this has.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

c.

Summary Introduction

To calculate: The after-tax income for 20X3.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

Expert Solution & Answer

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Answer 5

Chapter 3, Problem 31P

a.

Summary Introduction

To calculate: The after-tax income for 20X2.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

b.

Summary Introduction

To calculate: The percentage gain in income after tax due to a 10% increase in sales price and explain the reason for the impact this has.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

c.

Summary Introduction

To calculate: The after-tax income for 20X3.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

Answer 6

Chapter 3, Problem 31P

a.

Summary Introduction

To calculate: The after-tax income for 20X2.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

Answer 7

Chapter 3, Problem 31P

a.

Summary Introduction

To calculate: The after-tax income for 20X2.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

Answer 8

b.

Summary Introduction

To calculate: The percentage gain in income after tax due to a 10% increase in sales price and explain the reason for the impact this has.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

Answer 9

b.

Summary Introduction

To calculate: The percentage gain in income after tax due to a 10% increase in sales price and explain the reason for the impact this has.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

Answer 10

c.

Summary Introduction

To calculate: The after-tax income for 20X3.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

Answer 11

c.

Summary Introduction

To calculate: The after-tax income for 20X3.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

Answer 12

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Answer 13

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Answer 14

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Answer 15

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The after-tax income for 20X2. Introduction: After tax income: It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

Solution Summary: The author explains the formulas used for the calculation of after-tax income for 20X2. The gain in income after tax of the Canton Corporation is 21.59%.

Videos

To calculate: The after-tax income for 20X2.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

To calculate: The after-tax income for 20X3.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

Want to see the full answer?

Chapter 3 Solutions

The after-tax income for 20X2. Introduction: After tax income: It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

Solution Summary: The author explains the formulas used for the calculation of after-tax income for 20X2. The gain in income after tax of the Canton Corporation is 21.59%.

Videos

To calculate: The after-tax income for 20X2. Introduction: After tax income: It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

To calculate: The after-tax income for 20X3. Introduction: After tax income: It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

Want to see the full answer?

Chapter 3 Solutions

To calculate: The after-tax income for 20X2.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.

To calculate: The after-tax income for 20X3.

Introduction:

After tax income:

It is that net income which remains after the deduction of all the federal state and withholding taxes. It represents the income available to the consumer that can be utilized.