100%(29)29 out of 29 people found this document helpful
This preview shows page 20 - 24 out of 24 pages.
Points earned: /5(1 point each)NOTE: Must show calculations to earnB.Divided income form Zig co. Taxes on Divided income After tax amount
n credit.$20,000$20,000*40%$8,000$12,000$20,000m Tank $20,00070%$14,000m Tank Ind. $6,000$6,00040%$2,400$2,400$17,600
a. Calculate the amount of capital gain, if any, realized on each of the assets.b. Calculate the tax on the sale of each asset.P2-6 Capital gains taxes Perkins Manufacturing is considering the sale of two nondepreciable assetswas purchased for $2,000 and will be sold today for $2,250. Asset Y was purchased for $30,000 and wfor $35,000. The firm is subject to a 40% tax rate on capital gains.
Points earned: /2(1 point each)NOTE: Must show calculations to earn credit.A. Asset X sale price $2,250Purchase price$2,000Net Gain$250Asset Y sale Price $35,000Purchase Price$30,000Net Gain$5,000B.Tax on sale of Asset X$25040%$100Tax on sale of Asset Y$5,00040%$2,000, X and Y. Asset X will be sold today