Compute income taxes owed for a firm with the following data

Compute income taxes owed for a firm with the following data: a. b. c. Gross income from sales: $5 Million Accumulated business expenses: $500,000 Depreciation on assets: $300,000

Solution

Answer

gross income for sales = 5000000

accumulated business expenses = 500000

depreciation charges = 300000

taxable income = 4200000