Geisler Corp

question 22

Multiple Choice

Geisler Corp.provided you with the following information for the year ending December 31, 2017: Net Income before taxes: $150,000 Depreciation (included in above) $90,000 CCA$250,000
The net book value of the capital assets was $1,100,000, and their UCC was $900,000 on January 1, 2017.
A temporary difference of $200,000 is reflected in an accumulated deferred income tax liability (DTL) balance of $90,000 at January 1, 2017.
There were no permanent differences.
Taxable income in the three-year carry back period was $400,000.Tax losses are carried back as far as allowable by law.
A tax rate of 45% applies to the current and previous years.
Based on the above information, what is Geisler's tax recovery for 2017?

• A)$0
• B)$40,500
• C)$180,000
• D)$4,500
• E)cannot be determined

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Definitions:

Fixed-Interval Schedule

A reinforcement schedule where a response is rewarded only after a fixed amount of time has elapsed.

Operant Conditioning

A training technique in which the likelihood of a behavior is changed through the use of incentives or consequences.

Extinction

In psychology, the gradual weakening and eventual disappearance of a learned response when it is no longer reinforced.

Partial-Reinforcement Schedule

In operant conditioning, a strategy in which a behavior is reinforced intermittently, often resulting in more resistant and persistent responses.