Question: Over the last five years, corporation A has been consistently profitable. Its earnings before taxes were as follows: Year 1 2 3 4 5 Earnings
Over the last five years, corporation A has been consistently profitable. Its earnings before taxes were as follows:
| Year | 1 | 2 | 3 | 4 | 5 |
| Earnings | $1,300 | $3,100 | $4,000 | $5,300 | $4,500 |
If the corporate tax rate was 29 percent, what were the firm's income taxes for each year? Round your answers to the nearest dollar.
| Year | 1 | 2 | 3 | 4 | 5 |
| Taxes | $ | $ | $ | $ | $ |
Unfortunately, in year 6 the firm experienced a major decline in sales, which resulted in a loss of $11,900. What impact will the loss have on the firm's taxes for each year if the permitted carry-back is two years? If the answer is zero, enter "0". Round your answers to the nearest dollar.
| Year | 1 | 2 | 3 | 4 | 5 |
| New Taxes | $ | $ | $ | $ | $ |
Total tax refund: $
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