Best Buy Sold 638 IPads During the Month of May

question 136

Multiple Choice

Best Buy sold 638 iPads during the month of May for a total, including tax, of $296,963.48; what was the average cost to the consumer?

• A)$465.46
• B)$465.00
• C)$464.99
• D)$470.00
• E)$450.46

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Definitions:

Taxable Amounts

The portions of income, estate, or transactions subject to tax, according to applicable tax laws.

Deferred Tax Liabilities

Future tax payments resulting from temporary differences between the book value and the tax basis of assets and liabilities.

Deferred Tax Assets

Future tax benefits arising from temporary differences between the tax and accounting recognition of revenue and expenses.