Ryu works for the local electronic box store. He used his em…

Ryu works for the local electronic box store. He used his employee discount to buy a new home entertainment system for $3,000 (the system normally sells for $6,000). The store’s normal gross profit percentage is 30%. He also used his employee discount to purchase installation services for $1,000 (the store normally charges $3,000 for these services). How much, if any, is included in his gross income?

Lando purchased an annuity that promises to pay him $2,000 p…

Lando purchased an annuity that promises to pay him $2,000 per month for the rest of his life. Lando paid $396,000 for the annuity using his personal savings. Lando’s life expectancy at the time he began receiving the payments was 30 years. What is the amount of deduction allowed on Lando’s final tax return if Lando dies soon after receiving the 300th payment?

During 2019, Han and Leia, a married couple filing jointly,…

During 2019, Han and Leia, a married couple filing jointly, earned $150,000 in taxable income. They also received an additional $5,000 in municipal bond interest. Leia has the option of taking a part time job, which would pay her $47,000. What is their marginal tax rate with regard to this new option? Round your answer to the nearest tenth of a percent (i.e., 12.36787% rounded would be 12.4%).

       At the beginning of the year, Swaim Company estimated…

       At the beginning of the year, Swaim Company estimated annual overhead costs to be $400,000 and machine hours to be used at 200,000.  Swaim uses machine hours as the base for applying manufacturing overhead.  Actual machine hours totaled 180,000 during the year.  Actual overhead costs for the year were $420,000. The predetermined manufacturing overhead rate per machine hours is: