Loose Leaf for Principles of Taxation for Business and Investment Planning 2019 Edition
22nd Edition
ISBN: 9781260161472
Author: Sally Jones, Shelley C. Rhoades-Catanach
Publisher: McGraw-Hill Education
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Textbook Question
Chapter 10, Problem 2IRP
Javier is a full-time employee of B Inc. and operates a sole proprietorship. This year, his salary was $70,000, and his net earnings from self-employment were $60,000.
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As a part time employee, Derek earns $20,000 per year of employment income. He recently started up his own business as a sole proprietor. For the current year, his business revenues were $12,000 and his business expenses were $28,000. Derek has some investments that resulted in taxable dividend income of $1,400 and related interest expense of $2,000. Assuming this accounts for all of Derek's income, what is his non-capital loss for the year?
a. $600.
b. Nil.
c. $16,000.
d. $3,400.
Jordan owns and operates Jordan's Exotic Journeys (JEJ), a sole proprietorship. JEJ sponsors a profit-
sharing plan. Jordan had net income of $150,000 and paid self-employment taxes of $20,000 (assumed)
during the year. Jordan has decided to make a 15% contribution for her employees for the year. Assuming
Jordan is over the age of 50, what amount will she contribute for herself to the plan for 2019?
a. $16,957.
b. $18,261.
c. $28,000.
d. $56,000.
Jordan owns and operates Jordan’s Exotic Jouneys (JEJ), a sole proprietorship. JEJ sponsors a profit-sharing plan. Jordan had a net income of $150,000 and paid self-employment taxes of $20,000 (assumed) during the year. Jordan has decided to make a 15% contribution for her employees for the year. Assuming Jordan is over the age of 50, what amount will she contribute for herself to the plan for 2019?
$16,957
$18,261
$28,000
$56,000
Chapter 10 Solutions
Loose Leaf for Principles of Taxation for Business and Investment Planning 2019 Edition
Ch. 10 - Can a sole proprietorship be described as a...Ch. 10 - Mrs. Liu owns a business as a sole proprietor....Ch. 10 - This year, Mr. Pitts sole proprietorship generated...Ch. 10 - This year, Firm Q, a cash basis taxpayer, remitted...Ch. 10 - Prob. 5QPDCh. 10 - Define the tax base for the self-employment tax....Ch. 10 - Prob. 7QPDCh. 10 - Prob. 8QPDCh. 10 - Prob. 9QPDCh. 10 - Prob. 10QPD
Ch. 10 - Prob. 11QPDCh. 10 - Prob. 12QPDCh. 10 - Prob. 13QPDCh. 10 - Prob. 14QPDCh. 10 - Prob. 2APCh. 10 - Colin, a self-employed consultant, uses a room of...Ch. 10 - Prob. 4APCh. 10 - Prob. 5APCh. 10 - Prob. 6APCh. 10 - Prob. 7APCh. 10 - Prob. 9APCh. 10 - Prob. 10APCh. 10 - Jane is a self-employed attorney. This year, her...Ch. 10 - Prob. 12APCh. 10 - Prob. 13APCh. 10 - Amit is a limited partner in Reynolds Partnership....Ch. 10 - Kari is a limited partner in Lizard Partnership....Ch. 10 - Prob. 16APCh. 10 - Prob. 17APCh. 10 - Prob. 18APCh. 10 - Prob. 19APCh. 10 - Prob. 21APCh. 10 - AV Inc. is a member of an LLC. This year, AV...Ch. 10 - Prob. 23APCh. 10 - Prob. 24APCh. 10 - Prob. 25APCh. 10 - For each of the following situations, indicate...Ch. 10 - a. If Video Associates is a partnership, and her...Ch. 10 - Prob. 32APCh. 10 - Prob. 1IRPCh. 10 - Javier is a full-time employee of B Inc. and...Ch. 10 - Mr. and Mrs. Chou file a joint income tax return....Ch. 10 - Travis is a professional writer who maintains his...Ch. 10 - Prob. 5IRPCh. 10 - Prob. 6IRPCh. 10 - Prob. 7IRPCh. 10 - Prob. 8IRPCh. 10 - Prob. 9IRPCh. 10 - Paulas Schedule K-1 from an LLC reported a 12,000...Ch. 10 - Prob. 12IRPCh. 10 - Mr. and Mrs. West are the only shareholders in WW,...Ch. 10 - Prob. 14IRPCh. 10 - Prob. 15IRPCh. 10 - Prob. 16IRPCh. 10 - Prob. 17IRPCh. 10 - Prob. 1RPCh. 10 - Prob. 2RPCh. 10 - Prob. 4RPCh. 10 - Mr. and Mrs. Janus operate a restaurant business...Ch. 10 - Prob. 3TPCCh. 10 - Marla recently inherited 50,000 and is considering...
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