Question 9 A Firm Expanded Operations In An Existing Building Equipment Cost 800k Annual Sales Revenue 1 250k 1 (32.84 KiB) Viewed 18 times
Question 9 A Firm Expanded Operations In An Existing Building Equipment Cost 800k Annual Sales Revenue 1 250k 2 (33.94 KiB) Viewed 18 times
Question 9 A firm expanded operations in an existing building. • Equipment cost: $800K • Annual sales revenue: $1,250K • Annual operating expenses: $360K • Bonus depreciation: 40% The equipment is in the MACRS 7-year property class. Answer the following questions: What is 1st year depreciation? What is 1st year taxable income? What is 1st year federal income tax? [Choose ] [Choose ] [Choose ] <> <> 9 pts <>
During a 3-year period, a firm had the following cash flow (in million dollars): Year Gross income Purchase of special tooling All other expenditures 1 200 -60 -140 What is the taxable income in year 1? What is the taxable income in year 2? 2 What is the taxable income in year 3? 200 0 -140 Assume straight-line depreciation for the purchase of special tooling. [Choose ] [Choose ] [Choose ] <> () 3 <> 200 0 -140
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