HomeworkLib
Question

A.If the sales tax is $13.54 on a purchase of $228, what is the sales tax...

A.If the sales tax is $13.54 on a purchase of $228, what is the sales tax rate? Round your answer to two decimal places.

B.If the property taxes are $3900 on a home valued at $350,000, what is the effective property tax rate? Round your answer to two decimal places.

business   finance   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

a.

Tax = $13.54

Purchase Value = $228

Sales Tax Rate = 13.54/228

Sales Tax Rate = 5.94%

b.

Tax = $3,900

Purchase Value = $350,000

Effective property tax rate = 3,900/350,000

Effective property tax rate = 1.11%

0 0
Add a comment
Know the answer?
Add Answer to:
A.If the sales tax is $13.54 on a purchase of $228, what is the sales tax...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • Clifford, Inc., has a target debt-equity ratio of .65. Its WACC is 8.1 percent, and the...

    Clifford, Inc., has a target debt-equity ratio of .65. Its WACC is 8.1 percent, and the tax rate is 23 percent a.If the company's cost of equity is 11 percent, what is its pretax cost of debt? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b.If the aftertax cost of debt is 3.8 percent, what is the cost of equity? (Do not round intermediate calculations and enter your answer...

  • Eastern Electric currently pays a dividend of about $1.95 per share and sells for $32 a...

    Eastern Electric currently pays a dividend of about $1.95 per share and sells for $32 a share. a.If investors believe the growth rate of dividends is 4% per year, what is the opportunity cost of capital? (Do not round intermediate calculations. Round your answer to 2 decimal places.)Cost of Capital% b.If investors' opportunity cost of capital is 12%, what must be the growth rate they expect of the firm? (Do not round intermediate calculations. Round your answer to 2 decimal...

  • If you purchase a regularly priced $85 shirt on sale and pay only $75, what will...

    If you purchase a regularly priced $85 shirt on sale and pay only $75, what will the sales tax be if the sales tax rate in your community is 7 percent? (Round answers to 2 decimal places, eg. 52.75) $0.00 $5.25 $5.95 $0.70 If you purchase a regularly priced $85 shirt on sale and pay only $75, what will the sales tax be if the sales tax rate in your community is 7 percent? (Round answers to 2 decimal places,...

  • Homeowners enjoy many benefits, including a federal tax deduction for state and local property taxes paid....

    Homeowners enjoy many benefits, including a federal tax deduction for state and local property taxes paid. Madison, Wisconsin, earned the #1 spot in Livability.com’s 2015 Top 100 Best Places to Live ranking. With a median home price of $217,500, if the property tax rate is $23.7963 per $1,000, how much does the average homeowner pay in property tax? (Round your final answer to the nearest cent.) Average homeowner pay in property tax            $

  • Your firm is contemplating the purchase of a new $520,000 computer-based order entry system. The system...

    Your firm is contemplating the purchase of a new $520,000 computer-based order entry system. The system will be depreciated straight-line to zero over its five-year life. It will be worth $56,000 at the end of that time. You will be able to reduce working capital by $81,000 (this is a one-time reduction). The tax rate is 22 percent and the required return on the project is 10 percent. A.If the pretax cost savings are $150,000 per year, what is the...

  • DataPoint Engineering is considering the purchase of a new piece of equipment for $350,000. It has...

    DataPoint Engineering is considering the purchase of a new piece of equipment for $350,000. It has an eight-year midpoint of its asset depreciation range (ADR). It will require an additional initial investment of $170,000 in nondepreciable working capital. $62,000 of this investment will be recovered after the sixth year and will provide additional cash flow for that year. Income before depreciation and taxes for the next six are shown in the following table. Use Table 12–11, Table 12-12. Use Appendix...

  • ABC Company is considering the purchase of a new machine for $80,000 installed. The machine will...

    ABC Company is considering the purchase of a new machine for $80,000 installed. The machine will be depreciated by MACRS as 5 year property. The firm expects to operate the machine for 4 years and then to sell it for $11,750. If the marginal tax rate is 25.00%, what will the after–tax salvage value be when the machine is sold at the end of Year 4? Enter your answer rounded to two decimal places.  

  • ABC Company is considering the purchase of a new machine for $85,000 installed. The machine will...

    ABC Company is considering the purchase of a new machine for $85,000 installed. The machine will be depreciated by MACRS as 5 year property. The firm expects to operate the machine for 4 years and then to sell it for $12,250. If the marginal tax rate is 20.00%, what will the after–tax salvage value be when the machine is sold at the end of Year 4? Enter your answer rounded to two decimal places. Do not enter $ or comma...

  • Calculate the after-tax cost of debt under each of the following conditions: Interest rate of 13%;...

    Calculate the after-tax cost of debt under each of the following conditions: Interest rate of 13%; tax rate of 0%. Round your answer to two decimal places. % Interest rate of 13%; tax rate of 20%. Round your answer to two decimal places. % Interest rate of 13%; tax rate of 30%. Round your answer to two decimal places. %

  • ustin Grocers recently reported the following 2016 income statement (in millions of dollars): Sales $700 Operating...

    ustin Grocers recently reported the following 2016 income statement (in millions of dollars): Sales $700 Operating costs including depreciation 500 EBIT $200 Interest 40 EBT $160 Taxes (40%) 64 Net income $96 Dividends $32 Addition to retained earnings $64 For the coming year, the company is forecasting a 25% increase in sales, and it expects that its year-end operating costs, including depreciation, will equal 60% of sales. Austin's tax rate, interest expense, and dividend payout ratio are all expected to...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT