Question
Computing Income Taxes The William B. Waugh Corporation is a regional Toyota dealer. The firm sells new and used trucks and is actively involved in
Computing Income Taxes
The William B. Waugh Corporation is a regional Toyota dealer. The firm sells new and used trucks and is actively involved in the parts business. During the most recent year, the company generated sales of 3.13 million . The combined cost of goods sold and the operating expenses were $2.08 million . Also, 377,000
in interest expense was paid during the year. Calculate the corporation's tax liability by using the corporate tax rate structure in the popup window,
Corporate Tax Rates |
| |
15% | $0long dash$50,000 | |
25% | $50,001long dash$75,000 | |
34% | $75,001long dash$10,000,000 | |
35% | over $10,000,000 | |
Additional surtax: | ||
5% on income between $100,000 and $335,000 | ||
3% on income between $15,000,000 and $18,333,333 |
.
The corporation's tax liability is .....?
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