Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. bianca is a cash basis taxpayer with a calendar ye

Bianca is a cash basis taxpayer with a calendar year-end. She receives a bill for...

50.1K

Verified Solution

Question

Accounting

Bianca is a cash basis taxpayer with a calendar year-end. She receives a bill for accounting services for her business totaling $35,000. The accounting fees are tax deductible. The invoice was received on December 20, 2020, and is due by January 20, 2021. For 2020, Bianca has a marginal tax rate of 22%. In 2021, she anticipates having a marginal tax rate of 35%. Biancas historic investment rate is 10%. What is Biancas after-tax cost of the accounting services, if she pays the accounting invoice in December 2020?

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

MCDONALDS balance sheet. Fiscal year is January-December. All values USD millions. 2014 2015 2016 2017 2018 5-year trend Cash & Short Term Investments 2.08B 7.69B 1.22B 2.46B 866M Cash...

Finance
Q

Sustainability Related Questions: 1. What is the phosphorus cycle? 2. What critical role does phosphorus play in...

Chemistry
Q

True False Question 1 Pneumatic energy is the power created by the release of water from a...

Mechanical Engineering
Q

The following information pertains to the Flying Fig Corporation Total Units for information given Fixed...

Statistics
Q

x 2 x 7 0 Give your answer in interval notation

Calculus
Q

Donnell, a retired single taxpayer, began receiving a monthly pension from his former employer in...

Accounting
Q

Your group is tasked to do the following for FAN DE SOL: d)Prepare...

Accounting
Q

Which of the following requirements about internal controls were enacted under the Sarbanes Oxley Act:

Accounting
Q

Calculate the Days Sales in Receivables for the current year. If the prior year value...

Accounting
Q

On November 1,2024, the company borrowed $5,000 from a bank. The loan requires principal and...

Accounting
Q

identify the targeted group by using at least two variables from the four segmentation bases...

Accounting
Q

Choose the correct answer? Question Completion Status: Question 1 of 14 Moving to...

Finance