Syracuse, Inc. reported net income of $202,052 thousand for fiscal 2017. The annual report included the following details about its available-for-sale debt securities:

a. What amount appeared on Syracuse's balance sheet in 2017 for available-for-sale debt securities?
b. If Syracuse had instead classified these debt securities as trading, what would net income have been? Assume a marginal tax rate of 37% for your calculations.

Question

Syracuse, Inc. reported net income of $202,052 thousand for fiscal 2017. The annual report included the following details about its available-for-sale debt securities:
  
a. What amount appeared on Syracuse's balance sheet in 2017 for available-for-sale debt securities?
b. If Syracuse had instead classified these debt securities as trading, what would net income have been? Assume a marginal tax rate of 37% for your calculations.

Quizplus · Accepted Answer

The Answer of Syracuse, Inc. reported net income of $202,052 thousand for fiscal 2017. The annual report included the following details about its available-for-sale debt securities:
  
a. What amount appeared on Syracuse's balance sheet in 2017 for available-for-sale debt securities?
b. If Syracuse had instead classified these debt securities as trading, what would net income have been? Assume a marginal tax rate of 37% for your calculations.