Reference no: EM133655546
A company has the following value on their annual tax return.
Cash flows
|
Company
|
Sales revenues, $
Interest revenues, $
Expenses, $
Depreciation, $
|
1,500,000
31,000
-754,000
148,000
|
Calculate the following:
1-Net Income (options: $777,000/$925,000/$629,000/$746,000)
2-Calculate the federal income tax for the year ( options: $213,000/$264,180/$314,500/$253,640)
3-Estimate the effective rate (Te) of 34% federal tax and 6% state tax. (options:38/40/28/46)
4-Estimate the ATCF of that year. (options:$415,140/$660,820/$465,140/$462,500)
5-Bring this ATCF that is 3 years into the future to the present. (options:$311,901/$496,484/$349,467/$347,483)