Question: Esslinger Corporation has income per books before tax of $300,000. Included in the income per books is $4,000 interest income from tax-exempt municipal bonds. Esslinger

Esslinger Corporation has income per books before tax of $300,000. Included in the income per books is $4,000 interest income from tax-exempt municipal bonds. Esslinger also deducted $20,000 for business meal expenses, $3,000 for premiums on officers’ life insurance policies (the corporationis the beneficiary for these policies), and $100 for fines. What is Esslinger Corporation’s taxable income?
a. $296,100
b. $299,100
c. $306,100
d. $309,100
e. $313,100

Step by Step Solution

★★★★★

3.38 Rating (164 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

d 309100 300000 income p... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Taxation Decision Makers Questions!

Maxwell Corporation has income per books before tax of $400,000. Included in the income per books is $8,000 interest income from tax-exempt municipal bonds. In computing income per books, Maxwell...

Cross Company reported the following results for the year ended December 31, 2014, its first year of operations: _________________________________________________________2014 Income (per books before...

Jackson Corporation prepared the following book income statement for its year ended December 31, 2015: Information on equipment depreciation and sale: ¢ Acquired March 3, 2013 for $180,000...

Clark Corporation has income per books before tax of $1,500,000. In computing income per books, Clark included $7,000 interest income from tax-exempt municipal bonds and deducted $10,000 for business...

Maxwell Corporation has income per books before tax of $400,000. Included in the income per books is $8,000 interest income from tax-exempt municipal bonds. In computing income per books, Maxwell...

4. Esslinger Corporation has income per books before tax of $300,000. Included in the income per books is $4,000 interest income from taxexempt municipal bonds. Esslinger also deducted $20,000 for...

Esslinger Corporation has income per books before tax of $300,000. Included in the income per books is $4,000 interest income from tax-exempt municipal bonds. Esslinger also deducted $20,000 for...

Robinson Corporation has income per books before tax of $2,000,000. In computing income per books, Robinson included $8,000 interest income from tax-exempt municipal bonds and $500,000 life insurance...

The Importance of Corporate Governance from managerial accounting perspective [CG] and Corporate Social Responsibility initiatives by the firms in Oman [CSR]. Select three profitable businesses in...

An advertising research analyst wanted to test whether there is any relationship between a magazine advertisement's color intensity using a new digital photography technique introduced in 2007 and...

As the strategy director for a mutual fund, you must choose a portfolio of stocks that maximizes returns for your customers. Recently, the economy has undergone significant economic growth, which is...

An FI has 5 million in its trading portfolio on the close of business on a particular day. The current exchange rate of pounds for dollars is 0.6400/$, or dollars for pounds is $1.5625, at the daily...

How is the amount realized on a sale or exchange determined?

Bernadette sold her home. She received cash of $40,000, the buyer assumed her mortgage of $180,000, and she paid closing costs of $2,300 and a broker's commission of $7,000. a. What is the amount...

DDF Corporation sold land it had used for parking and storage for 20 years for $575,000. Its basis in the land was $68,000. It also sold some manufacturing equipment for $125,000 that it replaced...

1. One year ago, an investor bought 200 shares of a mutual fund at $8.50 per share. Over the past year, the fund has paid dividends of $.90 per share and had a capital gains distribution of $.75 per...

please answer, thank you a) Talk about Asset liability matching framework and what are the three different types? Also explain the graph below: 4. Dedicated Assets 120,000,000 100,000,000 80,000,000...

Suppose a stock had an initial price of $85 per share, paid a dividend of $1.50 per share during the year, and had an ending share price of $99. Requirement 1: Compute the percentage total return. (...