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Problem 17-26 (LO. 6) Blair underpaid her taxes by $250,000. A portion of the underpayment was shown to be attributable to Blair's negligence ($100,000). A
Problem 17-26 (LO. 6) Blair underpaid her taxes by $250,000. A portion of the underpayment was shown to be attributable to Blair's negligence ($100,000). A court found that the rest of the deficiency constituted civil fraud ($150,000). a. Compute the total fraud and negligence penalties: b. Construct a Microsoft Excel formula that will compute the penalties incurred in part (a). c. Blair pays the penalties four years after committing the improper acts. Her aftertax rate of return on available cash is 7%. The present value factor for four years at 7% is 0.7629. What is the present value of Blair's penalty obligations? Round your answer to the nearest dollar. The present value of Blair's penalty obligations is $
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