Find business income and net income for the company

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Reference no: EM132933946

Frankie has been operating a small retail proprietorship (Rite Co.) which earned $145,000 in revenues in 2020. Cost of goods sold were $80,000, and operating expenses were $20,000 which included a golf membership for employees valued at $8,000. $2,000 of amortization was reported for the vehicle used solely for the business. The tax account from 2019 showed an ending UCC balance for the Class 10 vehicle of $5,500. The company's net income from the financial statements was correctly calculated at $43,000, but the net income for tax purposes has not been calculated. Frankie does not require any personal income from the company.

Problem 1: find Business Income:
Net Income for the company
Golf
Amortization
CCA [$5,500 X 0.3]
S.3(b)
S.3(c)

S.3(d)

Reference no: EM132933946

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