Ferran operates a boutique yarn store from their own. The store had accounting income after tax of $50,000. Already deducted from that number are depreciation of $5,000, financing fees of $2,500, and salaries to arm's length employees of $10,000. CCA would be $4,000. Calculate Ferran's taxable income based on what you know about them?
Ferran operates a boutique yarn store from their own. The store had accounting income after tax of $50,000. Already deducted from that number are depreciation of $5,000, financing fees of $2,500, and salaries to arm's length employees of $10,000. CCA would be $4,000. Calculate Ferran's taxable income based on what you know about them?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Ferran operates a boutique yarn store from their own. The store had accounting
income after tax of $50,000. Already deducted from that number are
$5,000, financing fees of $2,500, and salaries to arm's length employees of $10,000.
CCA would be $4,000.
Calculate Ferran's taxable income based on what you know about them?
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