Westwind Corporation Reports the Following Results for the Current Year

question 86

Essay

Westwind Corporation reports the following results for the current year:
Gross profit on sales $250,000
Long-term capital gain 25,000
Long-term capital loss 10,000
Short-term capital gain 7,500
Short-term capital loss 12,500
Operating expenses 80,000
What are Westwind's taxable income and regular tax liability before credits for the current year?

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Definitions:

Decimal

A number that includes a decimal point to represent a fraction of a whole.

Percentage

A way of expressing a number as a fraction of 100, denoted by the symbol %.

Lowest Terms

A fraction in which the numerator and denominator have no common factors other than 1, making it the simplest form of the fraction.

Decimal

A system of numbers based on powers of ten, incorporating a point to separate the integer part from the fractional part of a number.