Question 1

Mountaineer,Inc.has the following results:  What is the amount of the alternative minimum tax?

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Question 2

Becky places five-year property in service during June 2014 using the half-year convention.Depreciation is $1,500 under the 150% declining balance method and $2,000 under 200% declining balance.Becky uses the 150% declining balance method for regular income tax purposes.What is the amount of Becky's AMT adjustment?

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The answer of Becky places five-year property in service during...

Question 3

How does the deduction for U.S.production activities affect AMTI?

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Question 4

Tax-exempt interest income on state and local municipal bonds that are not a private activity is

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Question 5

Beta Corporation incurs an $80,000 regular tax liability and a $20,000 AMT liability.Assuming no restrictions on Beta's ability to use the minimum tax credit,what journal entry would be necessary to record tax expense?

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Question 6

Identify which of the following statements is true.

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Question 7

Which of the following statements regarding the minimum tax credit is correct?

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The answer of Which of the following statements regarding the...

Question 8

Which of the following statements about the alternative minimum tax depreciation rules is correct?

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The answer of Which of the following statements about the...

Question 9

The personal holding company tax might be imposed

Accepted Answer

The personal holding company tax is imposed if more than 50% of the company is owned by five or fewer individuals for the entire year. Therefore, option C is correct. The tax is not imposed on partnerships, so option A is incorrect. The tax is imposed on companies whose gross income arises solely from rentals, if the lessors render no services to the lessees, but the ownership requirement is also necessary, so option B is also incorrect. The tax is not specifically imposed on small business investment companies licensed by the Small Business Administration, so option D is also incorrect.

Question 10

Identify which of the following statements is true.

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Question 11

ASC 740 requires that

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...

Question 12

Which of the following is not an adjustment in calculating AMTI?

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Question 13

Foster Corporation has gross income for regular tax purposes of $100,000,which includes a net Sec.1231 gain of $10,000 and a net capital gain of $10,000.Ordinary gross income for personal holding company purposes is

Accepted Answer

For personal holding company purposes, the only income that is not considered ordinary is the net capital gain. Therefore, we need to exclude the net Sec.1231 gain of $10,000 from the gross income of $100,000. This leaves us with ordinary gross income of $90,000. Then, we exclude the $10,000 net capital gain to get a final ordinary gross income of $80,000.

Question 14

Identify which of the following statements is false.

Accepted Answer

Adjusted current earnings (ACE) is not the same as E&P. E&P (Earnings and Profits) is a measure of taxable income used for determining dividend distributions, while ACE is a tax calculation used for alternative minimum tax purposes.

Question 15

Identify which of the following statements is false.

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Question 16

Certain adjustments must be made to alternative minimum taxable income (AMTI)to arrive at adjusted current earnings (ACE).Which one of the following adjustments increases AMTI to arrive at ACE?

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Question 17

Identify which of the following statements is true.

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Question 18

Becky places five-year property in service during June 2014 using the half-year convention.Depreciation is $1,500 under the 150% declining balance method and $2,000 under 200% declining balance.Becky uses the 200% declining balance method for regular income tax purposes.What is the amount of Becky's AMT adjustment?

Accepted Answer

The answer of Becky places five-year property in service during...

Question 19

Which of the following items are adjustments made to arrive at alternative minimum taxable income?

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Question 20

Mountaineer,Inc.has the following results:  What is the amount of the tentative minimum tax?

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Quiz 9: Other Corporate Tax Levies

Mountaineer,Inc.has the following results: What is the amount of the alternative minimum tax?

How does the deduction for U.S.production activities affect AMTI?

Tax-exempt interest income on state and local municipal bonds that are not a private activity is

Beta Corporation incurs an $80,000 regular tax liability and a $20,000 AMT liability.Assuming no restrictions on Beta's ability to use the minimum tax credit,what journal entry would be necessary to record tax expense?

Identify which of the following statements is true.

Which of the following statements regarding the minimum tax credit is correct?

Which of the following statements about the alternative minimum tax depreciation rules is correct?

The personal holding company tax might be imposed

Identify which of the following statements is true.

ASC 740 requires that

Which of the following is not an adjustment in calculating AMTI?

Foster Corporation has gross income for regular tax purposes of $100,000,which includes a net Sec.1231 gain of $10,000 and a net capital gain of $10,000.Ordinary gross income for personal holding company purposes is

Identify which of the following statements is false.

Identify which of the following statements is false.

Certain adjustments must be made to alternative minimum taxable income (AMTI) to arrive at adjusted current earnings (ACE) .Which one of the following adjustments increases AMTI to arrive at ACE?

Identify which of the following statements is true.

Which of the following items are adjustments made to arrive at alternative minimum taxable income?

Mountaineer,Inc.has the following results: What is the amount of the tentative minimum tax?