Power Corporation performs year-end planning in October of each year before its calendar year ends in December. The peeliminary estimated net income is $2,346,000, The CFO meets with the company president to review the projocted numbers, 5he peesents the followine projected informatione Estimated market value at December 31.2025t Other information at December 31, 2025: Other information at December 31, 2025: The corporation has never used robotic equipment before, and the CFO assumed an accelerated method because of the rapidly changing technology in robotic equipment. The company normally uses stralght-line depreciation for production equipment. The president explains to the CFO that it is important for the corporation to show $4.250.000 incomn before taxns because the president recelves a $850,000 bonus if the Income before Taxes and Bonus reaches $4,250,000. The president also does not want the compary to pay more than $1,530,000 in income taxes to that government. (a) What can the CFO do within GAAP to accommodate the oresident's wishes to achiove $4,250,000 in Income before Taxnsand Bonus? Present the revised income statement based on your decision. Power Corporation performs year-end planning in October of each year before its calendar year ends in December. The areliminary estimated net income is $2,346,000. The CFO meets with the company president to review the projected numbers. She presents the following projected information: Estimated market value at December 31, 2025: Other information at Decernber 31, 2025: Other information at December 31, 2025: The corporation has never used robotic equipment before, and the CFO assumed an accelerated method becaise of the rapidly changing technology in robotic equipment. The company normally uses straight-line depreciation for production equipment. The president explains to the CFO that it is important for the corporation to show a $4,250,000 income before taves because the president receives a $850,000 bonus if the Income before Taxes and Bonus reaches $4,250,000. The president also does not want the company to pay more than $1,530,000 in income taxes to the government. (a) What can the CFO do within GAAP to accommodate the president's wishes to achieve $4,250,000 in Income before Taxes and Bonus? Present the revised income statement based on your decision. Bonus? Present the revised income statement based on your decision. Power Corporation performs year-end planning in October of each year before its calendar year ends in December. The peeliminary estimated net income is $2,346,000, The CFO meets with the company president to review the projocted numbers, 5he peesents the followine projected informatione Estimated market value at December 31.2025t Other information at December 31, 2025: Other information at December 31, 2025: The corporation has never used robotic equipment before, and the CFO assumed an accelerated method because of the rapidly changing technology in robotic equipment. The company normally uses stralght-line depreciation for production equipment. The president explains to the CFO that it is important for the corporation to show $4.250.000 incomn before taxns because the president recelves a $850,000 bonus if the Income before Taxes and Bonus reaches $4,250,000. The president also does not want the compary to pay more than $1,530,000 in income taxes to that government. (a) What can the CFO do within GAAP to accommodate the oresident's wishes to achiove $4,250,000 in Income before Taxnsand Bonus? Present the revised income statement based on your decision. Power Corporation performs year-end planning in October of each year before its calendar year ends in December. The areliminary estimated net income is $2,346,000. The CFO meets with the company president to review the projected numbers. She presents the following projected information: Estimated market value at December 31, 2025: Other information at Decernber 31, 2025: Other information at December 31, 2025: The corporation has never used robotic equipment before, and the CFO assumed an accelerated method becaise of the rapidly changing technology in robotic equipment. The company normally uses straight-line depreciation for production equipment. The president explains to the CFO that it is important for the corporation to show a $4,250,000 income before taves because the president receives a $850,000 bonus if the Income before Taxes and Bonus reaches $4,250,000. The president also does not want the company to pay more than $1,530,000 in income taxes to the government. (a) What can the CFO do within GAAP to accommodate the president's wishes to achieve $4,250,000 in Income before Taxes and Bonus? Present the revised income statement based on your decision. Bonus? Present the revised income statement based on your decision
