Comprehensive Problem 5-84 (LO 5-1, LO 5-2, LO 5-3) (Algo) Charlie was hired by Ajax this...
Comprehensive Problem 5-84 (LO 5-1, LO 5-2, LO 5-3) (Algo) Charlie was hired by Ajax this year as a corporate executive and a member of the board of directors. During the current year, Charlie received the following payments or benefits paid on his behalf. Salary payments $ 104,500 Contributions to qualified pension plan 13,800 Qualified health insurance premiums 9,950 Year-end bonus 19,900 Annual director’s fee 9,000 Group-term life insurance premiums (face value $40,000) 965 Whole life insurance premiums (face value $100,000) 1,820 Disability insurance premiums (no special elections) 4,850 a. Charlie uses the cash method and calendar year for tax purposes. Calculate Charlie’s gross income for the current year.
Homework Answers
ANSWER
a. Calculation of gross income
| Particulars | Amount |
| Salary payments | $104,500 |
| Contributions to qualified pension plan | $0 |
| Qualified health insurance premiums | $0 |
| Year-end bonus | $19,900 |
| Annual director’s fee | $9,000 |
| Group-term life insurance premiums (face value $40,000) | $0 |
| Whole life insurance premiums (face value $100,000) | $1,820 |
| Disability insurance premiums | $0 |
| Gross Income | $135,220 |
================
DEAR STUDENT,
IF YOU HAVE ANY QUERY PLEASE ASK ME IN THE COMMENT BOX,I AM HERE TO HELP YOU.PLEASE GIVE ME POSITIVE RATING..
****************THANK YOU****************
Add Answer to:
Comprehensive Problem 5-84 (LO 5-1, LO 5-2, LO 5-3) (Algo)
Charlie was hired by Ajax this...
Charlie was hired by Ajax this year as a corporate executive and a member of the...
Charlie was hired by Ajax this year as a corporate executive and a member of the board of directors. During the current year, Charlie received the following payments or benefits paid on his behalf. Salary payments $ 140,500 Contributions to qualified pension plan 10,300 Qualified health insurance premiums 12,150 Year-end bonus 13,900 Annual director’s fee 19,100 Group-term life insurance premiums (face = $40,000) 865 Whole life insurance premiums (face = $100,000) 1,810 Disability insurance premiums (no special elections) 5,050 a....
Charlie was hired by Ajax this year as a corporate executive and a member of the...
Charlie was hired by Ajax this year as a corporate executive and a member of the board of directors. During the current year, Charlie received the following payments or benefits paid on his behalf. Salary payments $ 117,500 Contributions to qualified pension plan 18,700 Qualified health insurance premiums 9,750 Year-end bonus 15,900 Annual director’s fee 18,200 Group-term life insurance premiums (face value $40,000) 855 Whole life insurance premiums (face value $100,000) 1,640 Disability insurance premiums (no special elections) 4,840 a....
Charlie was hired by Ajax this year as a corporate executive and a member of the...
Charlie was hired by Ajax this year as a corporate executive and a member of the board of directors. During the current year, Charlie received the following payments or benefits paid on his behalf. Salary payments $ 109,500 Contributions to qualified pension plan 17,300 Qualified health insurance premiums 9,200 Year-end bonus 21,700 Annual director’s fee 19,400 Group-term life insurance premiums (face value $40,000) 1,110 Whole life insurance premiums (face value $100,000) 1,910 Disability insurance premiums (no special elections) 4,570 a....
Charlie was hired by Ajax this year as a corporate executive and a member of the...
Charlie was hired by Ajax this year as a corporate executive and a member of the board of directors. During the current year, Charlie received the following payments or benefits paid on his behalf Salary payments Contributions to qualified pension plan Qualified health insurance premiums Year-end bonus Annual director's fee Group-term life insurance premiums (face value $40,000) Whole life insurance premiums (face value $100,000) Disability Insurance premiums (no special elections) $110,500 20, 100 8,800 16,200 11,200 1,050 1,900 4,520 a....
Comprehensive Problem 7-65 (LO 7-1, LO 7-2, LO 7-3, LO 7-4, LO 7-5) Lance Corporation, an...
Comprehensive Problem 7-65 (LO 7-1, LO 7-2, LO 7-3, LO 7-4, LO 7-5) Lance Corporation, an accrual method corporation, reported taxable income of $1,460,000 this year. Included in the computation of taxable income were the following items: • MACRS depreciation of $200,000. Straight-line depreciation would have been $120,000 • Anet capital loss carryover of $10.000 from last year . Anet operating loss carryover of $25.000 from last year • $65.000 capital gain from the distribution of land to the company's...
Problem 5-31 (Algorithmic) (LO. 2) Donald was killed in an accident while he was on the...
Problem 5-31 (Algorithmic) (LO. 2) Donald was killed in an accident while he was on the job. Darlene, Donald's wife, received several payments as a result of Donald's death. Review the payments below and then enter the amount to be included in Darlene's gross income in the table provided. a. Donald's employer paid Darlene an amount equal to Donald's three months' salary ($15,000), which is what the employer does for all widows and widowers of deceased employees. b. Donald had...
Problem 5-31 (Algorithmic) (LO. 2) Donald was killed in an accident while he was on the...
Problem 5-31 (Algorithmic) (LO. 2) Donald was killed in an accident while he was on the job. Darlene, Donald's wife, received several payments as a result of Donald's death. Review the payments below and then enter the amount to be included in Darlene's gross income in the table provided. a. Donald's employer paid Darlene an amount equal to Donald's three months' salary ($15,000), which is what the employer does for all widows and widowers of deceased employees. b. Donald had...
Comprehensive problem (Algo) LO 1-1, 1-2, 1-3, 1-4, 1-5, 1-6, 1-7 Munoz Modems, Inc. makes modem...
Comprehensive problem (Algo) LO 1-1, 1-2, 1-3, 1-4, 1-5, 1-6, 1-7 Munoz Modems, Inc. makes modem cards that are used in notebook computers. The company completed the following transactions during year 1. All purchases and sales were made with cash. 1. Acquired $850,000 of cash from the owners. 2. Purchased $320,000 of manufacturing equipment. The equipment has a $40,000 salvage value and a four-year useful life. Label the purchase of the equipment as Event 2a and the recognition of depreciation...
Comprehensive Problem 8-84 (LO 8-1, LO 8-2, LO 8-3, LO 8-4, LO 8-5) [The following information applies to the questions displayed below.] Reba Dixon is a fifth-grade school teacher who earned a salar...
Comprehensive Problem 8-84 (LO 8-1, LO 8-2, LO 8-3, LO 8-4, LO
8-5)
[The following information applies to the questions
displayed below.]
Reba Dixon is a fifth-grade school teacher who earned a salary of
$38,000 in 2018. She is 45 years old and has been divorced for four
years. She receives $1,200 of alimony payments each month from her
former husband (divorced in 2016). Reba also rents out a small
apartment building. This year Reba received $50,000 of rental
payments...
Comprehensive Problem 7-67 (LO 7-1, LO 7-2, LO 7-3, LO 7-4, LO 7-5) Thriller Corporation has...
Comprehensive Problem 7-67 (LO 7-1, LO 7-2, LO 7-3, LO 7-4, LO 7-5) Thriller Corporation has one class of voting common stock, of which 1,000 shares are issued and outstanding. The shares are owned as follows: Joe Jackson Mike Jackson Joe's son) Jane Jackson Joo'daughter Vinnie Drice [unrelated Total shares 200 200 1.000 Thriller Corporation has current E&P of $400,000 for this year and accumulated E&P at January 1 of this year of $60,000. During this year, the corporation made...
Charlie was hired by Ajax this year as a corporate executive and a member of the board of directors. During the current year, Charlie received the following payments or benefits paid on his behalf Salary payments Contributions to qualified pension plan Qualified health insurance premiums Year-end bonus Annual director's fee Group-term life insurance premiums (face value $40,000) Whole life insurance premiums (face value $100,000) Disability Insurance premiums (no special elections) $110,500 20, 100 8,800 16,200 11,200 1,050 1,900 4,520 a....
Comprehensive Problem 7-65 (LO 7-1, LO 7-2, LO 7-3, LO 7-4, LO 7-5) Lance Corporation, an accrual method corporation, reported taxable income of $1,460,000 this year. Included in the computation of taxable income were the following items: • MACRS depreciation of $200,000. Straight-line depreciation would have been $120,000 • Anet capital loss carryover of $10.000 from last year . Anet operating loss carryover of $25.000 from last year • $65.000 capital gain from the distribution of land to the company's...
Problem 5-31 (Algorithmic) (LO. 2) Donald was killed in an accident while he was on the job. Darlene, Donald's wife, received several payments as a result of Donald's death. Review the payments below and then enter the amount to be included in Darlene's gross income in the table provided. a. Donald's employer paid Darlene an amount equal to Donald's three months' salary ($15,000), which is what the employer does for all widows and widowers of deceased employees. b. Donald had...
Problem 5-31 (Algorithmic) (LO. 2) Donald was killed in an accident while he was on the job. Darlene, Donald's wife, received several payments as a result of Donald's death. Review the payments below and then enter the amount to be included in Darlene's gross income in the table provided. a. Donald's employer paid Darlene an amount equal to Donald's three months' salary ($15,000), which is what the employer does for all widows and widowers of deceased employees. b. Donald had...
Comprehensive problem (Algo) LO 1-1, 1-2, 1-3, 1-4, 1-5, 1-6, 1-7 Munoz Modems, Inc. makes modem cards that are used in notebook computers. The company completed the following transactions during year 1. All purchases and sales were made with cash. 1. Acquired $850,000 of cash from the owners. 2. Purchased $320,000 of manufacturing equipment. The equipment has a $40,000 salvage value and a four-year useful life. Label the purchase of the equipment as Event 2a and the recognition of depreciation...
Comprehensive Problem 8-84 (LO 8-1, LO 8-2, LO 8-3, LO 8-4, LO
8-5)
[The following information applies to the questions
displayed below.]
Reba Dixon is a fifth-grade school teacher who earned a salary of
$38,000 in 2018. She is 45 years old and has been divorced for four
years. She receives $1,200 of alimony payments each month from her
former husband (divorced in 2016). Reba also rents out a small
apartment building. This year Reba received $50,000 of rental
payments...
Comprehensive Problem 7-67 (LO 7-1, LO 7-2, LO 7-3, LO 7-4, LO 7-5) Thriller Corporation has one class of voting common stock, of which 1,000 shares are issued and outstanding. The shares are owned as follows: Joe Jackson Mike Jackson Joe's son) Jane Jackson Joo'daughter Vinnie Drice [unrelated Total shares 200 200 1.000 Thriller Corporation has current E&P of $400,000 for this year and accumulated E&P at January 1 of this year of $60,000. During this year, the corporation made...
Most questions answered within 3 hours.
-
Given P(Ec ) = 0.43, P(F) = 0.52, and P(EF) = 0.18.
Find P( E |...
asked 27 minutes ago -
Consider two empty containers A and B whose volumes are
10mL and 20mL respectively. 1mL of...
asked 31 minutes ago -
QUESTION 6
Determine the linear momentum of a 2,800 kg houseboat going 3
m/s.
9,100 kg.m/s...
asked 45 minutes ago -
Jor-el throws a ball upward from the top of a 728 foot building
on the planet...
asked 49 minutes ago -
Which of the following will most likely to happen if Federal
Reserve Bank decreases the money...
asked 31 minutes ago -
You’ve just joined the investment banking firm of Dewey,
Cheatum, and Howe. They’ve offered you two...
asked 26 minutes ago -
An air conditioner cools 226 m^3/min of humid air at 36 oC and
98% relative humidity...
asked 25 minutes ago -
Vaughn Manufacturing acquires a coal mine at a cost of $1870000.
Intangible development costs total $354000....
asked 34 minutes ago -
Question 5
What effect would a decrease in
temperature have on pressure, assuming that volume
(T)...
asked 47 minutes ago -
Draw the Lewis dot structures for the following molecules. None
of the atoms have a formal...
asked 51 minutes ago -
What does it mean when an element is radioactive?
a.
It means the element is changing...
asked 52 minutes ago -
A company deposits $6,000 in a bank at the end of every year for
10 years....
asked 51 minutes ago