Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late...

Question

Question

Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late December she receiv c. Based on requirements a and b, should Isabel pay the $35,000 bill in December or January? December January

business accounting

Add a comment Improve this question Transcribed image text

Answer 1

Answer #1

a. $22050

b. $23009

c. Isabel should pay on December

Please like it if you find your solution.

Add a comment

Answer 2

Similar Homework Help Questions

Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late...

Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late December she received a $25,000 bill from her accountant for consulting services related to her small business. Isabel can pay the $25,000 bill anytime before January 30 of next year without penalty. Assume her marginal tax rate is 20 percent this year and next year, and that she can earn an after-tax rate of return of 6 percent on her Investments. a. What is...
Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late...

Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late December she received a $20,000 bill from her accountant for consulting services related to her small business. Isabel can pay the $20,000 bill anytime before January 30 of next year without penalty. Assume her marginal tax rate is 37 percent this year and next year, and that she can earn an after-tax rate of return of 12 percent on her investments. a. What is...
Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late...

Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late December she received a $90,000 bill from her accountant for consulting services related to her small business. Isabel can pay the $90,000 bill anytime before January 30 of next year without penalty. Assume her marginal tax rate is 37 percent this year and next year, and that she can earn an after-tax rate of return of 8 percent on her investments. a. What is...

Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late...

Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late December she received a $80,000 bill from her accountant for consulting services related to her small business. Isabel can pay the $80,000 bill anytime before January 30 of next year without penalty. Assume her marginal tax rate is 37 percent this year and next year, and that she can earn an after-tax rate of return of 6 percent on her investments. a. What is...
Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late...

Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late December she received a $41,000 bill from her accountant for consulting services related to her small business. Isabel can pay the $41,000 bill anytime before January 30 of next year without penalty. Assume her marginal tax rate is 37 percent this year and next year, and that she can earn an after-tax rate of return of 6 percent on her investments. a. What is...
Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late...

Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late December she received a $80,000 bill from her accountant for consulting services related to her small business. Isabel can pay the $80,000 bill anytime before January 30 of next year without penalty. Assume her marginal tax rate is 37 percent this year and next year, and that she can earn an after-tax rate of return of 6 percent on her investments. b. What is...

Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late...

Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late December she received a $28,000 bill from her accountant for consulting services related to her small business. Isabel can pay the $28,000 bill anytime before January 30 of next year without penalty. Assume her marginal tax rate is 40 percent this year and next year, and that she can earn an after-tax rate of return of 11 percent on her investments. o. What is...
QUESTION 1 Isabel, a calendar year taxpayer, uses the cash method of accounting for her sole...

QUESTION 1 Isabel, a calendar year taxpayer, uses the cash method of accounting for her sole proprietorship. In late December she received a $21,000 bill from her accountant for consulting services related to her small business. Isabel can pay the $21,000 bill anytime before January 30 of next year without penalty Assume her marginal tax rate is 32 percent this year and next year, and that she can earn an afer-tax rate of return of 6 percent on her investments....
1.0Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late...

1.0Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late December she received a $21,000 bill from her accountant for consulting services related to her small business. Isabel can pay the $21,000 bill anytime before January 30 of next year without penalty. Assume her marginal tax rate is 37 percent this year and next year, and that she can earn an after-tax rate of return of 8 percent on her investments. What is the...

Reese, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late...

Reese, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late December, she received a $25,000 bill from her accountant for consulting services related to her small business. Reese can pay the $25,000 bill anytime before January 30 of next year without penalty. Assume Reese's marginal tax rate is 32 percent this year and will be 37 percent next year, and that she can earn an after-tax rate of return of 9 percent on her...

Isabel, a calendar-year taxpayer, uses the cash method of accounting for her sole proprietorship. In late...

Homework Answers