A company had the following situation last year Gross sals- 5,890,000 expenses-

Question

A company had the following situation last year Gross sals- 5,890,000 expenses- 3,500,000 They purchased a machine that cost 5,000,000 that they intendto depreciate over 5 years using straight line. What was theurbefore tax income? a) 875,000 b)975,015 c)1,016,600 d)1,890,000 A company had the following situation last year Gross sals- 5,890,000 expenses- 3,500,000 They purchased a machine that cost 5,000,000 that they intendto depreciate over 5 years using straight line. What was theurbefore tax income? a) 875,000 b)975,015 c)1,016,600 d)1,890,000

Explanation / Answer

income before taxes would be:5000000/5=1000000 straight linedepreciation :
gross sales -expenses-deprexpense=5890000-3500000-1000000=13900000

Related Questions

Navigate

• Browse (All)
• Browse A
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.