Magnus Corporation has $120,000 of revenues for the year. They also have the following expenses during the year: · Cost of Goods Sold: $15,000 · Business Meals Expense: $6,000 · Speeding Tickets: $7,000 ·Salaries: $20,000 What is the amount of Magnus’ Taxable Income [hint: Corporate taxable income= Gross Income minus Allowable Deductions]? Group of answer choices $72,000 $75,000 $79,000 $82,000

Magnus Corporation has $120,000 of revenues for the year. They also have the following expenses during the year: · Cost of Goods Sold: $15,000 · Business Meals Expense: $6,000 · Speeding Tickets: $7,000 ·Salaries: $20,000 What is the amount of Magnus’ Taxable Income [hint: Corporate taxable income= Gross Income minus Allowable Deductions]? Group of answer choices $72,000 $75,000 $79,000 $82,000

SWFT Essntl Tax Individ/Bus Entities 2020

23rd Edition

ISBN:9780357391266

Author:Nellen

Publisher:Nellen

Chapter18: Comparative Forms Of Doing Business

Section: Chapter Questions

Problem 16P

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