ericahale4329 ericahale4329

Today at 4:54 PM
Business

Answered

Equipment that was purchased for $900,000 has a current book value of $450,000. Assume a capital gains tax rate of 28%. Compute the net tax payment or savings if you sell the equipment for $271,400.

Answer :

Parrain Parrain

Today at 4:58 PM

Answer: Savings on taxes of -$50,008‬

Explanation:

Book Value = $450,000

Selling Price = $271,400

Book Value is more than selling price so there is a Capital loss.

Capital gains tax will therefore become a tax saving of;

= 28% * (271,400 - 450,000)

= ‭-$50,008‬

Answer Link

Other Questions

The area of a square is increasing at a rate of 24 centimeters squared per second. Find the rate of change of the side of the square when it is 4 centimeters. T

The area of a square is increasing at a rate of 24 centimeters squared per second. Find the rate of change of the side of the square when it is 4 centimeters. T

Predict the products from reaction of 2-hexyne with the following reagents: (a) 2 equiv Br2 (b) 1 equiv HBr (c) Excess HBr (d) Li in NH3 (e) H2O, H2SO4, HgSO4

Alice and Bob both have RSA Public-Private key pairs: (PUA, PRA) and (PUB, PRB). They also have cryptographic functions EAES / DAES to encrypt / decrypt using A

Alice and Bob both have RSA Public-Private key pairs: (PUA, PRA) and (PUB, PRB). They also have cryptographic functions EAES / DAES to encrypt / decrypt using A

How do evil practices hinder in the smooth developement of a sociaty? Describe with example

A line passes through the point $(9,-3)$ and has a slope o

Whose rule is Rome is known as'Pax Roman'

give three example of types of slide transition

Define Animation and state its type.

Winning the jackpot in a particular lottery requires that you select the correct two numbers between 1 and 65 and, in a separate drawing, you must also select

A proton is held at rest in a uniform electric field. When it is released, the proton will gain: a) electrical potential energy. b) kinetic energy. c) both kine

Immediately following the arrival of the stimulus at the axon terminal there is a short period called the period during which no muscle tension is observed whil

ncome Statements Segmented by Products Francisco Consulting Firm provides three types of client services in three health-care-related industries. The income sta

Which of the following describes states’ rights? A-the idea that states have powers separate from the federal government B-a strong loyalty to a state or region

There are 4 routes from Danbury to Hartford and 6 routes from Hartford to Springfield. You need to drive from Danbury to Springfield for an important meeting. Y

What is an equation of the line that passes through the points (0,6) and (-3,2)?

Louis Pasteur's research contributed to which of the following changes to life during the Industrial Revolution? A. New laws banning child labor B. Higher wage

1. What does it mean for a country to become or be independent?

How does the graph of y = 3^xcompare to the graph of y = 3^-x? A. The graphs are the same. B.The graphs are reflected across the x-axis. C. The graphs are refle