Total After tax cash Cash outflows Tax shields deductions outflows= Cash Year =Interest + Depreciation Interest =Deductions =Depr + outflows- Deductions Principal repaid 0.35 Interest after tax 1 1734000 1275000 459000 1734000 693600 1040400

Q: Explain the difference between marginal tax rates and average taxrates.

A: Marginal tax rate : The marginal tax rate is the system by which the federal taxation system makes…

Q: why are the operating taxes in the FCF analysis calculating without taking into account the tax…

A: Interest paid on loans or debts is an expense for the company. Also these interests reduces the…

Q: The balance sheet elimination for an intercompany profit in land involves the deduction of the…

A: In consolidated financial statements, when a parent company and its subsidiary engage in…

Q: Differentiate Tax from Taxation

A: The taxes imposed directly on the income or earnings of the individual are the direct taxes whereas…

Q: Answer in points: Question. Difference between average and marginal tax rates

A: Average rate of tax is the amount of taxes paid on total income on average. For example, a business…

Q: What are all type of taxes we need to pay

A: As individuals and as entities we need to pay various direct taxes as well as indirect taxes in our…

Q: Income

A: Income tax is a tax that is imposed by the government of all countries. It is generally imposed on…

Q: What is Marginal tax rate ?

A: “Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Explain various types of taxes

A: taxes A tax may be a obligatory fee or monetary charge levied by any government on a private or a…

Q: On page 2, number 16, how do I find the total for tax?

A: The total of tax is the tax amount which is payable amount which has been computed on the basis of…

Q: hat are the limitations to the power of taxation? Discuss each briefly. (Please include the…

A: Power of taxation is given to the central and state controlling bodies of the countries wherein tax…

Q: Property and income taxes are more popular than sales taxes and user charges? True or False

A: Taxes are the fees charged by the government to collect revenue and run the country. The money…

Q: RRSP

A: RRSP is a retirement savings plan that you establish, that we register, and to which you or your…

Q: what is mean by Tax evasion and what reasons the people do this?

A: Tax obligation represents the liability of the taxpayer towards the government for the payment of a…

Q: deferred tax assets and deferred tax liabilities

A: The deferred tax assets and deferred tax liabilities arise due to the tax effect of timing…

Q: Describe some reasons why it is a good idea to file a tax return if you have earned income, even if…

A: If there is no tax liability, even then the Income-tax return (ITR) is mandatory to file if the…

Q: What is the name of the amount of money that can bededucted directly from the computed tax, instead…

A: Tax or Taxes: Tax is an amount paid by the persons (individuals and business entities) to a…

Q: When DTA reverses, income tax payable is reduced, while when DTL reverses, income tax payable is…

A: Temporary differences are differences between book income and taxable income of the business. These…

Q: How can we deal with Salvage value and gains tax:?

A: Depreciation: The term depreciation refers to the fall in the monetary value of assets due to its…

Q: Where can I find after tax interest income on a balance sheet or income statement(trying to find…

A: Components of income statement: The income statement is part of the financial statement of the firm.…

Q: What’s the difference between marginal and average tax rates?

A: The taxes are the government source of income from the general public. The tax rate are the…

Q: What are the situs rules on income tax situs on sales of goods?

A: Income tax:A tax charged on the income earned by the individual or corporates by the central…

Q: Explain the functioning of flat taxation. Which taxpayers are usually subject to a flat tax rate?

A: Flat taxation is a taxation system where all taxpayers are subject to the same tax rate, regardless…

Q: What are FUTA and SUTA taxes? Is there any possible reduction in the FUTA tax rate? If so, what is…

A: Introduction: Employer payroll taxes are paid by the employer from its own funds on the basis of…

Q: What is meant by two terms, ‘tax evasion’ and ‘tax avoidance’? Give your answer with examples of…

A: The financial position of the company can be arrived from the income statement prepared by the…

Q: The tax rate is the ratio between the amount of tax and the amount of income. true Error

A: >Tax rate is the rate of tax that is levied by the regulating authorities.>Income tax rate is…

Q: What are the advantages of claiming the standard deduction versus itemizing deductions on your…

A: Income tax:   It is the tax every individual or company is liable to pay on the income generated…

Q: What is Income tax receivables?

A: Other receivables: Other receivables are the receivables other than the accounts receivable, and the…

Q: discussion on why you think credits are better than deductions, or if deductions are better than…

A: Similarities between Tax Deduction and Tax CreditPurpose: Both tax deduction and tax credit serve to…

Q: How do I calculate the amount of sales tax that is included in total receipts?

A: Sales tax = Actual sales * Tax rate

Q: How can we use Replacement Analysis with Tax Considerations?

A: Using of replacement analysis with tax consideration help the investor in order to select the best…

Q: What are the additional income taxes?

A: Income tax: Income tax is a tax levied on an individual’s income (taxable income). It is a direct…

Q: Please discuss the deductibility of real property taxes.

A: Local governments and municipal corporations collect property taxes annually from landowners.

Q: Do you thinks taxes are moral? Explain your answers

A: Taxable income is the amount of income computed to measure the amount of taxes to be paid to the…

Q: Can the effective rate of tax be negative? Why? or Why

A: it is sometimes possible that effective tax may be negative.This is but rare cases but sometimes it…

Q: First, explain the difference between marginal and average tax rates. Looking at a recent statement…

A: The prompt you have provided asks for an explanation of the difference between marginal and average…

Q: We tax net income? What economic distortions would occur if we taxed gross receipts?

A: Gross income is the income to the company or an individual after operating activities or providing…

Q: Explain the differences between sales taxes and excise taxes. Give an argument in favor of excise…

A: Tax:   A tax is a compulsory charge or a levy imposed upon a taxpayer by a government organization…

Q: What is Situs of Taxation? Give at least three (3) examples.

A: Individuals' earnings from more than one country or business or profession get confused about which…