Answered step by step
Verified Expert Solution
Question
...
1 Approved Answer
In 2021, Godox Inc. generated sales revenue of $400,000. It had the following expenses: Cost of Goods Sold: $170,000 Salary: $65,000 Rent: $50,000 Meals &
In 2021, Godox Inc. generated sales revenue of $400,000. It had the following expenses: Cost of Goods Sold: $170,000 Salary: $65,000 Rent: $50,000 Meals & Entertainment: 24,000 (50% deductible as business expense, other 50% is considered a personal benefit by CRA) Motor Vehicle: 15,000 (It is estimated that 20% of this was for personal use) What is the Company's taxable income for tax purposes?
Select one:a. 91000b. 80600c. 76000d. 92000
Step by Step Solution
There are 3 Steps involved in it
Step: 1
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-text-image.webp)
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Step: 3
![blur-text-image](https://dsd5zvtm8ll6.cloudfront.net/includes/images/document_product_info/blur-subtext-image.webp)
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started