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Sales for J. P. Hulett Inc. during the past year amounted to $ 4.1 million. Gross profits totaled $ 1.05 million, and operating and depreciation
Sales for J. P. Hulett Inc. during the past year amounted to $ 4.1 million. Gross profits totaled $ 1.05 million, and operating and depreciation expenses were$ 498000 and $ 353000 respectively. Dividend income for the year was $ 11,000 which was paid by a firm in which Hulett owns 85 percent of the shares.
Use the corporate tax rates shown in the popup window,
(See attached.), to Comcute the corporation's tax liability. What are the firm's average and marginal tax rates?
The firm's tax liability for the year is
$___(Round to the nearest dollar.)
Data Table Taxable Income Marginal Tax Rate 15% $0- $50,000 $50,001 $75,000 25% $75,001 $100,000 34% $100,001 $335,000 39% $335,001 $10,000,000 34% $10,000,001 $15,000,000 35% $15,000,001 $18,333,333 38% over $18.333,333 35%Step by Step Solution
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