What is the motivation behind the tax department

Assignment Help Accounting Basics
Reference no: EM131792138

Question - As of December 30, 2010, Robin Corporation (a calendar year taxpayer) has gross income from operations of $497k, expenses from operations of $556k and dividends received from domestic corporations (less than 20% ownership) of $200k. Currently, Robin does not expect any more income or expenses to be realized by year-end. However, Robins' tax department has suggested that the corporation incur another $1,001 of deductible expenditures before year-end. What is the motivation behind the tax department's recommendation, and is such year-end tax planning ethical?

Reference no: EM131792138

Questions Cloud

What amount should appear as inventory on the company : Jensen Tire had two large shipments in transit at December 31. What amount should appear as inventory on the company's balance sheet at December 31? Explain
Describe the purpose and importance of your chosen sector : Describe purpose and importance of your chosen sector. Are your sector's assets important or relevant to the government, private industry or a mixture of two?
Explain three major reasons why new ventures fail : Explain three [3] major reasons why new ventures fail? Why the concept of a customer relationship management system became necessary.
Analyze the buying process for an online product : Research and analyze the buying process for an online product or service, with which you (as a consumer) are familiar, from a business point of view.
What is the motivation behind the tax department : What is the motivation behind the tax department's recommendation, and is such year-end tax planning ethical
How much should jones report as unrealized gain or loss : Jones reported a $10,000 credit balance in its Fair value adjustment-Trading securities account in its December 31, 2013 (prior year), balance sheet.
Does suspect based profiling differ from racial profiling : How do the contradiction and disagreement within the field of criminal profiling hinder advancements in this emerging field? How do they help to advance
How constantine report suit in its financial statements : How should Constantine report the suit in its 2010 financial statements? Discuss the rationale for your answer
What common critics of business tend to argue : According to Norman Bowie, businesses have obligations to the environment. The reasons he gives are different than what common critics of business tend to argue

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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!

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