Questions from Taxation

Q: In 2017, Bartley Corporation’s federal income tax due was $147

In 2017, Bartley Corporation’s federal income tax due was $147,000. Compute the required installment payments of 2018 tax in each of the following cases: a. Bartley’s 2018 taxable income is $440,000....

Q: In 2017, NB Inc.’s federal taxable income was $

In 2017, NB Inc.’s federal taxable income was $242,000. Compute the required installment payments of 2018 tax in each of the following cases: a. NB’s 2018 taxable income is $593,000. b. NB’s 2018 taxa...

Q: James, who is in the 35 percent marginal tax bracket,

James, who is in the 35 percent marginal tax bracket, owns 100 percent of the stock of JJ Inc. This year, JJ generates $500,000 taxable income and pays a $100,000 dividend to James. Compute his tax on...

Q: Firm Y has the opportunity to invest in a new venture.

Firm Y has the opportunity to invest in a new venture. The projected cash flows are as follows: Year 0: Initial cash investment in the project of $300,000. Years 1, 2, and 3: Generate cash revenues of...

Q: Corporation P owns 93 percent of the outstanding stock of Corporation T

Corporation P owns 93 percent of the outstanding stock of Corporation T. This year, the corporation’s records provide the following information. a. Compute each corporationâ&...

Q: Griffin Corporation received $50,000 of dividend income from Eagle

Griffin Corporation received $50,000 of dividend income from Eagle, Inc. Griffin owns 5 percent of the outstanding stock of Eagle. Griffin’s marginal tax rate is 21 percent. a. Calculate Griffin’s all...

Q: This year, Napa Corporation received the following dividends.

This year, Napa Corporation received the following dividends. Napa and Gamma do not file a consolidated tax return. Compute Napa’s dividends-received deduction.

Q: This year, GHJ Inc. received the following dividends.

This year, GHJ Inc. received the following dividends. Compute GHJ’s dividends-received deduction.

Q: In its first year, Camco Inc. generated a $92

In its first year, Camco Inc. generated a $92,000 net operating loss, and it made a $5,000 cash donation to a local charity. In its second year, Camco generated a $210,600 profit, and it made a $10,00...

Q: This year, Fig Corporation made a $100,000 contribution

This year, Fig Corporation made a $100,000 contribution to charity. In each of the following situations, compute the after-tax cost of this contribution assuming that Fig uses a 6 percent discount rat...