Simpco, an S Corporation, Has Gross Operating Revenue of $450,000

question 108

Essay

Simpco, an S corporation, has gross operating revenue of $450,000, cost of sales of $150,000, salaries and FICA taxes for employees of $40,000, a $25,000 Section 179 expense deduction, $10,000 of other depreciation, interest income of $2,000, a $4,000 capital loss, and a $500 charitable contribution deduction. What are the corporation's net income and its separately stated items?

Comprehend the ecological importance of biodiversity within each biome.

Analyze the adaptation strategies of plants and animals in distinct biomes.

Relate the impact of climate on the distribution and characteristics of biomes.

Identify the unique climatic conditions responsible for the formation of specific biomes.

---

Definitions:

Direct Labor-Hours

The total hours worked by employees directly involved in the manufacturing process or providing a service, used as a basis for allocating labor costs.

Fixed Manufacturing Overhead

Costs related to the production process that do not vary with the volume of production, such as rent, depreciation, and salaries of permanent staff.

Variable Overhead Rate

The rate at which variable overhead costs are allocated to production, based on a predetermined base such as direct labor hours or machine hours.

Direct Labor-Hours

The total hours worked by employees directly involved in the production process.