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. In tax year 1, an electronics-packaging firm had a gross income of $30,000,000, $4,000,000 in salaries, $5,000,000 in wages, $1,200,000 in depreciation expenses, a

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. In tax year 1, an electronics-packaging firm had a gross income of $30,000,000, $4,000,000 in salaries, $5,000,000 in wages, $1,200,000 in depreciation expenses, a loan principal payment of $250,000, and a loan interest payment of $200,000. Determine the net income of the company in tax year 1. 3 Click the icon to view the corporate tax schedule for 2015. The net income of the company in tax year 1 is $ (Round to the nearest dollar.) 3: More Info Taxable Income (X) Tax Rate Tax Computation Formula $0-$50,000 15% $0 + 0.15X 50,001-75,000 25% 7,500 + 0.25(X - $50,000) 75,001-100,000 34% 13,750 + 0.34(X - 75,000) 100,001-335,000 34% + 5% 22,250 + 0.39(X - 100,000) 335,001-10,000,000 34% 113,900 + 0.34(X- 335,000) 10,000,001-15,000,000 35% 3,400,000 + 0.35(X - 10,000,000) 15,000,001-18,333,333 35% + 3% 5,150,000 + 0.38(X - 15,000,000) 18,333,334 and up 359 6,416,666 + 0.35(X - 18,333,333) 10. A consumer electronics company was formed to develop cell phones that run on or are recharged by fuel cells. The company purchased a warehouse and converted it into a manufacturing plant for $9,000,000. It completed installation of assembly equipment worth $1,700,000 on December 31st. The plant began operation on January 1st. The company had a gross income of $9,500,000 for the calendar year. Manufacturing costs and all operating expenses, excluding the capital expenditures, were $2, 150,000. The depreciation expenses for capital expenditures amounted to $446,000. 4 Click the icon to view the corporate tax schedule for 2015. (a) Compute the taxable income of this company. The taxable income of this company is $ (Round to the nearest dollar.) (b) How much will the company pay in federal income taxes for the year? The federal income taxes for the year will be $ (Round to the nearest dollar.) 4: More Info Taxable Income (X) Tax Rate Tax Computation Formula $0-$50,000 15% $0 + 0.15X 50,001-75,000 25% 7,500 + 0.25(X - $50,000) 75,001-100,000 34% 13,750 + 0.34(X - 75,000) 100,001-335,000 34% + 5% 22,250 + 0.39(X - 100,000) 335,001-10,000,000 34% 113,900 + 0.34(X - 335,000) 10,000,001-15,000,000 35% 3,400,000 + 0.35(X - 10,000,000) 15,000,001-18,333,333 35% + 3% 5, 150,000 + 0.38(X - 15,000,000) 18,333,334 and up 35% 6,416,666 + 0.35(X - 18,333,333)

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