Ishak has been employed as a manager with Malim Utama Sdn. Bhd. for many years. He...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Ishak has been employed as a manager with Malim Utama Sdn. Bhd. for many years. He resigned on 31 December 2017. His income for the year ended 31 December 2017 is as follows: Salary per month Entertainment allowance per month Bonus for year ended 31 December 2016 paid in February 20.000.00 2017 Travelling allowance per month 2.600.00 Ishak was provided with the following benefits for the year ended 31 December 2017: 1. He and his family were provided with holidays to various local resorts and a trip to Tianjin by Malim Utama Sdn. Bhd, which incurred the following expenses: Penang Island Langkawi Island RM 10.250.00 1.500.00 RM 1,200.00 1.900.00 Cameron Highlands 600.00 500.00 12,000.00 Morib China 2. He received travelling allowances and entertainment allowances. However, his travelling expenses for the year amounted to RM22,823.00, and he also incurred RM15,500.00 on entertaining clients during the year. 3. He was provided with a gardener for 9 months. The monthly salary of RM600.00 was paid by the company. 4. He was provided with a car (costing RM109,000.00 when new) for six months in 2017, and petrol amounting to RM8,500.00. 5. He employed a maid solely for his family's use at RM700.00 per month starting from 1 April 2017 until he resigned. Malim Utama Sdn. Bhd. paid the maid's salaries. 6. Malim Utama Sdn. Bhd. provided medical benefits for Ishak and his family costing RM9,500.00. 7. Starting from 1 January 2017, Malim Utama Sdn. Bhd. rented a fully furnished six-room bungalow in Kuala Lumpur for RM12,500.00 per month (inclusive of furniture at RM4,000.00) for Ishak. Two of the rooms in the house were not used by Ishak but reserved for the use of the company's clients. These two rooms were not furnished. Required: Compute aggregate income for the YA 2017. Ishak has been employed as a manager with Malim Utama Sdn. Bhd. for many years. He resigned on 31 December 2017. His income for the year ended 31 December 2017 is as follows: Salary per month Entertainment allowance per month Bonus for year ended 31 December 2016 paid in February 20.000.00 2017 Travelling allowance per month 2.600.00 Ishak was provided with the following benefits for the year ended 31 December 2017: 1. He and his family were provided with holidays to various local resorts and a trip to Tianjin by Malim Utama Sdn. Bhd, which incurred the following expenses: Penang Island Langkawi Island RM 10.250.00 1.500.00 RM 1,200.00 1.900.00 Cameron Highlands 600.00 500.00 12,000.00 Morib China 2. He received travelling allowances and entertainment allowances. However, his travelling expenses for the year amounted to RM22,823.00, and he also incurred RM15,500.00 on entertaining clients during the year. 3. He was provided with a gardener for 9 months. The monthly salary of RM600.00 was paid by the company. 4. He was provided with a car (costing RM109,000.00 when new) for six months in 2017, and petrol amounting to RM8,500.00. 5. He employed a maid solely for his family's use at RM700.00 per month starting from 1 April 2017 until he resigned. Malim Utama Sdn. Bhd. paid the maid's salaries. 6. Malim Utama Sdn. Bhd. provided medical benefits for Ishak and his family costing RM9,500.00. 7. Starting from 1 January 2017, Malim Utama Sdn. Bhd. rented a fully furnished six-room bungalow in Kuala Lumpur for RM12,500.00 per month (inclusive of furniture at RM4,000.00) for Ishak. Two of the rooms in the house were not used by Ishak but reserved for the use of the company's clients. These two rooms were not furnished. Required: Compute aggregate income for the YA 2017.
Expert Answer:
Related Book For
Federal Taxation 2018 Comprehensive
ISBN: 9780134532387
31st Edition
Authors: Thomas R. Pope, Timothy J. Rupert, Kenneth E. Anderson
Posted Date:
Students also viewed these accounting questions
-
The net income for the year ended December 31, 2015, for Oliva Company was $1,900,000. Additional information is as follows: Depreciation on plant...
-
For many years, Heather has been employed as a social worker and has also made some money ($80,000 in 2020/21) from selling personal goods on Amazon. The goods that she sold were either hers or...
-
On 31 December 2017 Real Estate Company issued K300, 000 of 10% bonds. The bonds are due on January 1, 2023, with interest payable each July 1 and January 1. The bonds are issued to yield 8%...
-
Give the eccentricities of conic sections with one focus at the origin of the polar coordinate plane, along with the directrix for that focus. Find a polar equation for each conic section. e = 1/2, r...
-
Don Draper has signed a contract that will pay him $80,000 at the beginning of each year for the next six years, plus an additional $100,000 at the end of Year 6. If 8 percent is the appropriate...
-
A California study concluded that by following 7 simple health rules a man's life can be extended by 11 years on the average and a woman's life by 7 years. These 7 rules are as follows: no smoking,...
-
In 2010, in an attempt to increase the number of Americans covered by health insurance and reduce the cost of health care, Congress passed the Patient Protection and Affordable Care Act. A key...
-
(Pension Expense, Journal Entries for 2 Years) Gordon Company sponsors a defined benefit pension plan. The following information related to the pension plan is available for 2010 and 2011. (a)...
-
During the early 19th century, the Springfield (Massachu-setts) Armory provided a good example of: an increasing division of labor accounting techniques for wage payments and control of time and...
-
On May 31, O'Hearne Limited had a cash balance per books of $13,126. The bank statement from Community Bank on that date showed a balance of $15,230. A comparison of the bank statement with the...
-
Word count in C++please! Many text processing tools like Microsoft Word or Google Docswill count the number of "words" in text. A word is a sequence ofany characters other than a space. Write a...
-
(Future value of an annuity) Imagine that Homer Simpson actually invested the $130,000 he earned providing Mr. Burns entertainment 6 years ago at 6.5 percent annual interest and that he starts...
-
Hyper Growth Engineering has an educational assistance program for its employees who are classified as executive leadership. Preston, who is the CFO, obtains a graduate degree from Georgia Tech that...
-
In the given figure, V = 10 V, R = 350 m2, R2 = 5 kQ, and C = 300 F. Assume steady-state conditions for t < 0. NOTE: This is a multi-part question. Once an answer is submitted, you will be unable to...
-
1. The following diagram represents a String array with 5 elements: Jocko's Chun's Leftovers Log Cabins Velzyland If I want to edit the String "Velzyland" which index number should I access? ...
-
Can you explain the necessary piece of information that would add value to understanding the employee's feeling and knowledged and capabilities of Amazon. Please cite sources and date
-
A bond pays annual coupons of $125 at the end of each year for 7 years. It is priced at $2,700 corresponding to a yield of 6.5% pa. You know that the face value is 1.3 times the redemption value. The...
-
Time Travel Publishing was recently organized. The company issued common stock to an attorney who provided legal services worth $25,000 to help organize the corporation. Time Travel also issued...
-
During 2017, James, a single, cash method taxpayer incurred the following expenditures: Qualified medical expenses.................................................. $ 8,000 Investment interest...
-
If the objectives of the federal tax system are multifaceted and include raising revenues, providing investment incentives, encouraging certain industries, and meeting desired social objectives, is...
-
May a taxpayer appeal a case litigated under the Small Cases Procedure of the Tax Court?
-
Construct a frequency and relative frequency histogram of the five-year rate of- return data discussed in Example 3. Approach To draw the frequency histogram, use the frequency distribution in Table...
-
Construct a frequency and relative frequency histogram of the five-year rate of- return data discussed in Example 3. Approach We will use StatCrunch to construct the frequency and relative frequency...
-
The data in Table 14 represent the two-year average percentage of persons living in poverty, by state, for the years 20122013. Draw a stem-and-leaf plot of the data. Approach Step 1 Treat the integer...
Study smarter with the SolutionInn App