A Company Has a Loan with a Carrying Value of $60

question 37

Multiple Choice

A company has a loan with a carrying value of $60 000.The payment of the loan is not deductible for tax purposes.The tax rate is 30%.What is the tax base for this item?

• A) $0
• B) $60 000
• C) $18 000
• D) $78 000

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Definitions:

Discrete Random Variables

Variables in statistical analysis that can take on a countable number of distinct values, often representing occurrences.

Continuous Random Variables

Variables that can take on an infinite number of values within a given range.

Probability Density

A function that describes the relative likelihood for a random variable to take on a given value.

Probability Density Function

A mathematical expression that defines the probability of a continuous random variable assuming a specific value.