For 2011, Company A. has pretax accounting income of $3 million. Among the revenues and expenses making up Company A's pretax accounting income are:
Depreciation expense $300,000
Salary and wage expense 400,000
Maintenance expense 123,000
Goodwill impairment 500,000
Tax-exempt interest on municipal bonds 15,000
Company A's depreciation for tax purposes was $380,000 for 2011. Company A's received no dividends during the year, but paid $30,000 in dividends during the year.
What is Company A's 2011 taxable income?

Answer rating: 100% (QA)

To calculate Company As 2011 taxable income we need to adjust its pretax accounting income by consid... View the full answer