What is the firm total tax liability for the year

Reference no: EM13260955

Interest versus dividend income During the year just ended, Shering Distributors, Inc., had pretax earnings from operations of $490,000. In addition, during the year it received $20,000 in income from interest on bonds it held in Zig Manufacturing and received $20,000 in income from dividends on its 5% common stock holding in Tank Industries, Inc. Shering is in the 40% tax bracket and is eligible for a 70% dividend exclusion on its Tank Industries stock.

what is the firm's total tax liability for the year?

Reference no: EM13260955

Questions Cloud

Write a paper explaining how these are formed : As you have learned, mindsets and biases influence how we perceive every event, person and thing we see. Write a paper explaining how these are formed and what we can do to overcome them.

What is the most you would be willing to pay for this bond : You are interested in investing in a five-year bond that pays a 6.18 percent coupon with interest to be received semiannually. Your required rate of return is 9.66 percent. What is the most you would be willing to pay for this bond?

Explain what is the value of ka for the acid : A 0.15 M solution of chloroacetic acid has a pH of 1.86 What is the value of Ka for this acid

Find the resulting kinetic energy of the electron : An x-ray photon with wavelength 15.0 pm is scattered at 84.0 degrees by an electron, find the resulting kinetic energy of the electron

What is the firm total tax liability for the year : Zig Manufacturing and received $20,000 in income from dividends on its 5% common stock holding in Tank Industries, Inc. Shering is in the 40% tax bracket and is eligible for a 70% dividend exclusion on its Tank Industries stock.

Find how many kilobytes of memory are there on the chip : If memory on a single memory chip ranges from address 100000H to 8FFFFH, how many kilobytes of memory are there on this chip if the memory is byte addressable

What are the underwater angles of refraction for given light : The index of refraction for red light in water is 1.331 and that for blue light is 1.340. what are the underwater angles of refraction for the blue and red components of the light

Define what is ka of methyl orange : Methyl orange is an indicator that changes color over a range from pH =3.1 to pH =4.4 . What is Ka of methyl orange

Elder and paul model of critical thinking : Elder and Paul model of critical thinking suggests that, whatever your discipline, it is worthwhile for you to engage in asking eight key questions of the materials you peruse

User Account

All Pages