The Manager of Weiser Is Given a Bonus Based on Net

question 64

Multiple Choice

The manager of Weiser is given a bonus based on net income before taxes. The net income after taxes is $35,700 for FIFO and $29,400 for LIFO. The tax rate is 30%. The bonus rate is 20%. How much higher is the manager's bonus if FIFO is adopted instead of LIFO?

• A) $9,000
• B) $12,600
• C) $1,800
• D) $6,300

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Definitions:

Active Drug

A substance with therapeutic effects that is used in the treatment or prevention of diseases or disorders.

Axon

The neuron’s extension that passes messages through its branching terminal fibers that form junctions with other neurons, muscles, or glands.

Neuron

A nerve cell; the basic building block of the nervous system.

Cell Body

The part of a neuron that contains the nucleus and most of the cell's metabolic machinery, playing a crucial role in the cell's function.