Hunt Taxidermy, Inc., is concerned about the taxes paid by the company in 2021. In addition to $42.4 million of taxable income, the firm received $2.975,000 of interest on state-issued bonds and $1,000,000 of dividends on common stock it owns in Oakdale Fashions, Inc. (Use corporate tax rate of 21 percent for your calculations.) Calculate Hunt Taxidermy's tax liability. (Enter your answer in dollars not in millions. Round your answer to the nearest dollar amount.) Tax liability 9,154,425

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Hunt Taxidermy, Inc., is concerned about the taxes paid by the company in 2021. In addition to $42.4 million of taxable income, the firm
received $2,975,000 of interest on state-issued bonds and $1,000,000 of dividends on common stock it owns in Oakdale Fashions,
Inc. (Use corporate tax rate of 21 percent for your calculations.)
Calculate Hunt Taxidermy's tax liability. (Enter your answer in dollars not in millions. Round your answer to the nearest dollar
amount.)
Tax liability
$
9,154,425
Transcribed Image Text:Hunt Taxidermy, Inc., is concerned about the taxes paid by the company in 2021. In addition to $42.4 million of taxable income, the firm received $2,975,000 of interest on state-issued bonds and $1,000,000 of dividends on common stock it owns in Oakdale Fashions, Inc. (Use corporate tax rate of 21 percent for your calculations.) Calculate Hunt Taxidermy's tax liability. (Enter your answer in dollars not in millions. Round your answer to the nearest dollar amount.) Tax liability $ 9,154,425
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