taxation

Question 19: ABC Inc. generated net income of $300,000 in income under GAAP. Included in this amount are: $5,000 income tax expense $12,000 depreciation expense $1,000 Interest and Penalties on late income tax installments; and $18,000 Travel Expense $3,000 Life Insurance policy premiums on the CEO required to obtain financing from bank Company accountant calculated the maximum CCA to be $14,000 for the year. How much is the company's income for tax purposes? A. $307,000 B. $322,000 C. $290,000 D. $304,000 Question 20: Organic Spices Ltd. Operates a CCPC that generated $165,000 in income under GAAP. Included in this amount are: $6,000 Landscaping Costs were capitalized and paid in 2020. These costs were not expensed for accounting since they were incurred at the end of the year $4,000 paid to spouse (Office Admin Program Graduate) for 200 hours of bookkeeping services $12,000 Golf Club Memberships for commission earning employees; and $2,000 Donations to various charities How much is the company's income for tax purposes? A. $189,000 B. $173,000 C. $171,000 D. Some other number E. $185,000 Question 19: ABC Inc. generated net income of $300,000 in income under GAAP. Included in this amount are: $5,000 income tax expense $12,000 depreciation expense $1,000 Interest and Penalties on late income tax installments; and $18,000 Travel Expense $3,000 Life Insurance policy premiums on the CEO required to obtain financing from bank Company accountant calculated the maximum CCA to be $14,000 for the year. How much is the company's income for tax purposes? A. $307,000 B. $322,000 C. $290,000 D. $304,000 Question 20: Organic Spices Ltd. Operates a CCPC that generated $165,000 in income under GAAP. Included in this amount are: $6,000 Landscaping Costs were capitalized and paid in 2020. These costs were not expensed for accounting since they were incurred at the end of the year $4,000 paid to spouse (Office Admin Program Graduate) for 200 hours of bookkeeping services $12,000 Golf Club Memberships for commission earning employees; and $2,000 Donations to various charities How much is the company's income for tax purposes? A. $189,000 B. $173,000 C. $171,000 D. Some other number E. $185,000