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You own a construction company with a revenue of $ 3 9 5 , 0 0 0 . The direct costs of construction are $

You own a construction company with a revenue of $395,000. The direct costs of construction are $280,000. Your annual general overhead is $22,000, which includes $3500 in meals and entertainment; $3000 in office utilities; $2500 for office laptop; $8000 for office desks and chairs; $500 for office supplies; and miscellaneous. The allowed depreciation for office utilities is $50; for office laptop is $200; and for office desks and chairs is $85; and for office supplies is $15.
In addition, the past allowed depreciation amounted to $300.
During the year you also earned $8000 in dividends and $800 in interest. Determine your net taxable income from construction business and marginal net taxable income. The income tax rate for the company is 25%. Calculate the net profit of the company.
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