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Last year, California Sushi and Such (CSS) had sales of $65 million. The firm s operating expenses amounted to $20 million and costs of goods
Last year, California Sushi and Such (CSS) had sales of $65 million. The firm s operating expenses amounted to $20 million and costs of goods sold totaled $15 million . In addition, CSS received $80,000 in dividend income, and paid $300,000 in dividends to its stockholders . CSS has $25 million in bonds outstanding with an annual interest payment of 9%. The firm also had $4 million in depreciation expense , and sold land for $3.5 million that had been purchased for $2.5 million several years earlier . What is the firm's tax liability ?
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