User Account

All Pages

Calculate the amount of income tax expense

Assignment Help Financial Accounting
Reference no: EM132490468

                                              P                              S

Gross Profit                         $80,000                $60,000

Miscellaneous Expenses         $20,000               $20,000

Depreciation Expense            $30,000               $15,000

Income Tax Expense              $12,000               $10,000

Net Income                          $18,000                $15,000

On January 1, 2019, S sold equipment to P at a profit of $8,000 (before tax). The equipment had a remaining useful life of 25 years on that date. At the end of 2019, S declared and paid a $3,000 dividend. (to provide guidance on an approach to respond to this question, see the template on the next page).

Required:

Question 1. Calculate the 2019 Consolidated Net Income, including the share attributable to the non-controlling interest.

Question 2. Calculate the amount of income tax expense appearing on the 2019 Consolidated Income Statement.

Reference no: EM132490468

Questions Cloud

Complete table and show computation for annual depreciation : Assuming the company uses the units-of-production method of deprecation complete the following table and show your computation/workings
What nursing issue is reflected in the story : Determine what nursing issue is reflected in the story and key people involved. Share your viewpoint about the story as it relates to nurses and the nursing.
What are the determinants of health in your community : Find a gap in care or social determinate that often results in poor health care outcomes. You will Identify a population at risk in your community.
What changes have been made to np scope of practice : Full scope of practice for NPs could be valuable to healthcare. It could help to alleviate many of the issues with access to care for patients.
Calculate the amount of income tax expense : Calculate the amount of income tax expense appearing on the 2019 Consolidated Income Statement. Calculate the 2019 Consolidated Net Income
What is the temperature of the chamber : What is the temperature of the chamber if the speed was recorded to be 250 m/s?
What was the pre-tax gain or loss to parent on intercompany : What would be the pre-tax gain or loss to the consolidated entity on the intercompany sale of the bonds? What was the pre-tax gain or loss to Parent
What was the opening balance of deferred income taxes : What was the realized profit net of tax for 2018 on inventory sales for the consolidated entity? What was the opening balance of Deferred Income Taxes
How is compliance with the medication monitored : How is compliance with the medication monitored? What are the other methods used to prevent the recurrence of ischemic stroke?

Reviews

Write a Review

Financial Accounting Questions & Answers

  Compute the npv for project huron

Suppose that the appropriate cost of capital is 12 percent. Advise the organization about whether it should accept or reject the project.

  What is the amount of cash required for the payment

Enduro Tile Company purchased merchandise on account from a supplier for $8,000, terms 2/10, n/30. Enduro Tile Company returned $3,500 of the merchandise and received full credit.

  What were the total expenses for december

What is the amount reported for total liabilities and stockholders' equity on December 31? How much does GGE Enterprises Inc. owe to its creditors?

  What is the total labor variance

What is the total labor variance? Was it favorable or unfavorable? Why?

  Prepare closing entries for alistair co

Prepare closing entries for Alistair Co. on December 31, 2012. (Omit explanations.)

  Prepare multiple-step income statement

Rembrandt Paint Company had the following income statement items for the year ended December 31, 2016 ($ in 000s): Net sales $ 29,000 Cost of goods sold $ 16,000 Interest income 310 Selling and administrative expenses 3,600 Interest expense 570 Restr..

  What is the major goal of business

What is the major goal of business? And do all businesses have the same goal? What is business ethics? What is outsourcing and how is it used? What is infrastructure and provide an example? What is dumping?

  Prepare a revised operating profit report

The business treats the cost of idle capacity as a period cost and prepare a revised operating profit report and summary of manufacturing activity for the business.

  Why does an intra-entity sale of a depreciable asset

Why does an intra-entity sale of a depreciable asset (such as equipment or a building) require subsequent adjustments to depreciation expense within the consolidation process?

  Deducting the related allowance for doubtful accounts

At the close of its first year of operations, December 31, 2017, Ming Company had accounts receivable of $1,620,000, after deducting the related allowance for doubtful accounts. What should the company report on its balance sheet at December 31, 2017..

  The new territory to maintain the firm current net income

Central Pennsylvania Limestone plans to market its product in a new territory. Management estimates that an advertising and promotion program costing $123,000 annually would be needed for the next two or three years. How many tons would have to be so..

  What is the present value that is to be received at the end

What is the present value of $450,000 that is to be received at the end of 20 years if the discount rate is 10%? How would answer change

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd