Taxable income. As a result of several mergers and acquisitions, stock in four companies has been distributed among the companies. Each row of the following table gives the percentage of stock in the four companies that a particular company owns and the annual net income of each company (in millions of dollars): So company A holds 71 % of its own stock, 8 % of the stock in company B , 3 % of the stock in company C .etc. For the purpose of assessing a state tax on corporate income, the taxable income of each company is defined to be its share of its own annual net income plus its share of the taxable income of each of the other companies, as determined by the percentages in the table. What is the taxable income of each company (to the nearest thousand dollars)?
Taxable income. As a result of several mergers and acquisitions, stock in four companies has been distributed among the companies. Each row of the following table gives the percentage of stock in the four companies that a particular company owns and the annual net income of each company (in millions of dollars): So company A holds 71 % of its own stock, 8 % of the stock in company B , 3 % of the stock in company C .etc. For the purpose of assessing a state tax on corporate income, the taxable income of each company is defined to be its share of its own annual net income plus its share of the taxable income of each of the other companies, as determined by the percentages in the table. What is the taxable income of each company (to the nearest thousand dollars)?
Solution Summary: The author calculates the taxable income of each company as A,B,CandD to the nearest thousand dollars.
Taxable income. As a result of several mergers and acquisitions, stock in four companies has been distributed among the companies. Each row of the following table gives the percentage of stock in the four companies that a particular company owns and the annual net income of each company (in millions of dollars):
So company
A
holds
71
%
of its own stock,
8
%
of the stock in company
B
,
3
%
of the stock in company
C
.etc. For the purpose of assessing a state tax on corporate income, the taxable income of each company is defined to be its share of its own annual net income plus its share of the taxable income of each of the other companies, as determined by the percentages in the table. What is the taxable income of each company (to the nearest thousand dollars)?
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Chapter 4 Solutions
Finite Mathematics for Business, Economics, Life Sciences and Social Sciences Plus NEW MyLab Math with Pearson eText -- Access Card Package (13th Edition)
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