1. Calculate the corporate tax on earnings before tax (EBT) of the following amounts:
a. $37,000
b. $57,000
c. $88,500
d. $110,000
e. $5,375,000
f. $14,000,000
g. $17,350,000
h. $23,500,000
2. Microchip Inc. had the following profits and losses in the years indicated.
|
2004
|
$5,000,000
|
|
2005
|
350,000
|
|
2006
|
(3,450,000)
|
How much federal tax will it eventually pay for 2004? The corporate tax schedule on page 48 is the same for all three years.