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In its first year of operations, a company reported taxable income of $200,000. In its second year the company incurred a $250,000 loss. During these
In its first year of operations, a company reported taxable income of $200,000. In its second year the company incurred a $250,000 loss. During these first two years, the tax rates were 30% and 35% respectively. It is now the end of the third year, and the company a taxable income of $260,000. The company carries losses to the earliest year possible. The tax rate is currently 40%. The amount of income tax receivable or payable in the current (third) year, not including the prior year loss carry back, is: A) $16,500 payable. B) $84,000 payable. C) $104,000 payable. OD) $27,500 receivable. Giraffe Inc. is a publicly accountable enterprise. Which method must Giraffe use to account for employee stock options? OA) Market value of the shares. B) Intrinsic value of options. C) Time value of options. D) Fair value on the grant date of the options. For the year ended December 31, 2020, Pony Company earned $6,500,000 net income. Outstanding preferred shares included 1,000,000 in 3% cumulative preferred shares issued on January 1, 2017 and $2,000,000 in 5% non-cumulative preferred shares issued on January 1, 2020. Dividends were not declared in 2019 or 2018. On December 31, 2020, Pony Company declared $20,000 in preferred dividends. What is the numerator for basic EPS calculations? 0 6,420,000 0 6,470,000 6,500,000 6,410,000 6,310,000
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