ABC Co. provides an incentive compensation plan under which its president receives a bonus equal to 10% of the corporation’s income before income tax but after deduction of the bonus. If the tax rate is 40% and net income after bonus and income tax was P360,000, what was the amount of the bonus?

Q: Libra Corporation’s president has a profit-sharing agreement with the company. The agreement states…

A: Bonus Payable = 10% x Net Income before deduction of bonus but after tax

Q: The tax rates are as shown below: Taxable Income Tax Rate 15% $0 - 50,000 50,00175,000 25% 75,001…

A: Taxation: Taxation refers to the imposition of compulsory financial obligations by the government on…

Q: 1.ABC Company has an incentive compensation plan that pays its president a bonus equal to 10% of the…

A: Since you have asked multiple questions we can solve only first question for you if you want to get…

Q: 9. Chicken Wings Company's profit before tax for the six months to September 30, 2021, was…

A: As per IAS 34 Interim Financial Reporting, while calculating income tax expenditure, tax rate should…

Q: Europa Inc lent its manager P1,000,000 at a lower rate of 3% interest per annum. What is the fringe…

A: Fringe Benefit Tax For calculating the fringe benefit taxes in Philippines first to calculate the…

Q: Jennifer, the manager of Pharoah Company is given a bonus based on net income before taxes. The net…

A: The net income before tax is calculated as sum of net income and income tax.

Q: KL Corporation’s president has a profit-sharing agreement with the company. The agreement states…

A: Base Bonus = (Net Income - Tax) X 10% Base Bonus = [Net Income - [(Net Income - Bonus)] X Tax rate )…

Q: If a company's Income tax rate Is 30% and its annual depreclation deduction Is $80,000, then the…

A: Since depreciation  deduction  is debited  to profit or loss account/income statement, we will  save…

Q: - As of the end of 2019, the status of the 690 Period Profit or Loss Account of our business and…

A: Income 4680000 Expenses 3500000

Q: Jax Company provides an incentive compensation plan under which its president received a bonus equal…

A: Amount of the bonus = 10% x income before income tax but after deduction of the bonus…

Q: 35. A domestic corporation has the following income and expenses for 2021 taxable year: Gross sales…

A: Income tax in the Philippines is flat 30% on the net taxable income for both the domestic…

Q: 7. Garfield Company pays its general manager an annual bonus. For the year 2021, the company…

A: Note: Since you have posted a question with multiple sub-parts, we will solve the first three…

Q: Bernie Bird Corporation provides a bonus equal to 10% of Bernie’s income in excess of P100,000…

A:

Q: 3b. A company made an additional (incremental) income of $10,000 during the last week of the year.…

A: Tax can be defined as an amount paid to the government on the income. It is a compulsory…

Q: his Company grants its managerial employees bonus in the form of profit sharing. Information on…

A: Given information   Profit before tax = P 4,000,000 Bonus rate = 10%  Income tax = 30% After bonus…

Q: ble Company provides an incentive compensation plan under which its president received a bonus qual…

A: The net income before tax can be computed from net income after tax using rate of income tax.

Q: Berry Co/ provides an incentive compensation plan under which its president receives a bonus equal…

A: The bonus amount is 20% of after tax and bonus amount. The following formula would be applied to get…

Q: ABC Corporation pays bonuses to its Chief Finance officer. The company had profit for 2021 of P…

A: Let bonus = a so, Bonus = [Profit before bonuses and income taxes - (before bonuses and income taxes…

Q: ADHER grants its managerial employees bonus in the form of profit shanng. Information on operations…

A: Calculation of bonus in all cases are as follows

Q: ABC Co. distributes annual bonus to its sales manager. The company reported P2 million profit for…

A: The net income after tax is calculated as follows: Net income after tax = Net income before income…

Q: 1. What is the tax due and payable amount in fiscal year 20x1?   Fiscal year June 20, 20x1 (5th…

A: Tax is the amount that needs to be paid by the business and other taxpayers from their income…

Q: Assuming Mr. X opted to be taxed at 8% tax under the train law. The income tax due is?

A: TRAIN law stands for Tax Reform for Acceleration And Inclusion Law of Phillipines taxation which was…

Q: If a company earns $48,000 income on a municipal bond and the tax rate is 20%, Income tax expense…

A: Taxes are the compulsory payment that should be made by the taxpayer.

Q: Ronald Company has an incentive compensation plan under which a branch manager received 10% of the…

A: Let, Bonus = X Bonus = (Income before bonus and tax - Bonus) x 10%

Q: ABC Co. distributes annual bonus to its sales manager. The company reported 2 million profit for…

A: The net profit after tax is calculated as difference between net income and income tax.

Q: If ABC Company provide bonus to one of its officer of 20% on profit after bonus and income taxes,…

A: Let us take bonus = x

Q: If ABC Company provide bonus to one of its officer of 20% on profit after bonus and income taxes,…

A: Let bonus = a so, bonus = [(profit before bonus and taxes - bonus) x (1 - tax rate)] x 20% a =…

Q: 37. The bonus agreement of Christian Company provides that the general manager shall receive an…

A: Bonus = [(Income before bonus and tax - Bonus) x (1 - tax rate)] x bonus rate

Q: 1. HOBGOBLIN Corp. provides an incentive compensation plan under which its president receives a…

A: Solution: Income before income tax = P1,920,000 Bonus = 10% of income before income tax after…

Q: Able Company provides an incentive compensation plan under which its president received a bonus…

A: Bonus is the extra money that is paid to shareholders out of net income. The bonus rate is 10% of…

Q: 7. Washington Corporation provides an incentive compensation plan under which its president is to…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: What is the corporate income tax liability at December 31, 2020?

A: Calculation of corporate income tax liability at December 31, 2020: Profit before the deduction of…

Q: One branch of Galssy Company earned an income of P560,000 before bonus and taxes for 2020. The…

A:

Q: The Talley Corporation had taxable operating income of $365,000 (i.e., earnings from operating…

A: Taxable income is the income on which government imposes tax and Tax Expense is the amount of taxes…

Q: c. Suppose the government imposes a 25 percent tax on accounting profits. This tax is levied only if…

A: Accounting profit is the profit earned from company’s financial transactions.

Q: The bonus agreement of Christian Company provides that the general manager shall receive an annual…

A: Income:- Income is the proportion of money a company maintains internally after reimbursing all…

Q: JIMIN Company has an agreement to pay the executive officers a bonus of 5% of the entity’s earnings.…

A: Bonus is the additional amount given to owners or partners in the business for their outstanding…

Q: The manager of Pharoah is given a bonus based on net income before taxes. The net income after taxes…

A: Net income before taxes as per LIFO method = Net income /(100%- tax rate)

Q: The manager of Sheffield is given a bonus based on net income before taxes. The net income after…

A: Introduction: FIFO stands for First in First out which means first received inventory to be sold…

Q: a calendar-year C Corporation, is considering investing in a business expenditure with a cost of…

A: Tax Credit: Tax credits are an instrument to reallocate pay to individuals on lower compensation. A…

Q: 21. Based on the facts of Easy Problems Corp. If the corporation desires to earn profit of Php…

A: Break-even analysis is the most straightforward type of cost-volume-benefit investigation. It is…

Q: he Generous Corporation’s president has a profit sharing agreement with the company. The agreement…

A: solution : bonus amount               = 10% of the company’s net income before deduction of bonus…

Q: 4. If the firın wants to earn P70,000 in pre-tax profit, sales revenue must be equal to a. P110,000…

A: Variable costs are those costs that keeps on changing with change in the production level. This…

Q: The tax rates are as shown below: Taxable Income $0-50,000 50,00175,000 75,001 100,000 100,001…

A: Tax on income is the amount of charge to be paid to government calculated as a percentage of net…

Q: 12. The employer company gave the following cash benefit to the tollowing. Supervisory employees…

A: FBT refers to Fringe benefits tax which is a form of tax that the firms paid in relation to the…

Q: 11. After three profitable years, Grace company decided to offer a bonus to the branch manager of…

A: Bonus is the additional amount or compensation which is paid to the employees for additional work…