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1. Calculate the corporate tax on earnings before tax (EBT) of the following amounts:
a. $37,000
b. $57,000
c. $88,500
d. $110,000
e. $5,375,000
f. $14,000,000
g. $17,350,000
h. $23,500,000
2. Microchip Inc. had the following profits and losses in the years indicated.
2004
$5,000,000
2005
350,000
2006
(3,450,000)
How much federal tax will it eventually pay for 2004? The corporate tax schedule on page 48 is the same for all three years.
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