Business, 18.03.2021 01:20 hafiza83

Each year, Tom and Cindy Bates (married filing jointly) report itemized deductions of $20,000 (which includes an annual $4,000 pledge payment to their church). Upon the advice of a friend, they do the following: In early January 2019, they pay their 2018 pledge; during 2019, they pay the 2019 pledge; and in late December 2019, they prepay their 2020 pledge. a. What are the Bateses trying to accomplish?
b. What would the Bates' total itemized deductions be if all three church pledge payments were made in 2019?
Assume that the itemized deductions of $20,000 already included one year of the church pledge payments.
What will be the Bates' tax saving if their marginal tax bracket is 24% for all three years?
(Assume that the standard deduction amounts for 2019 and 2020 are the same).

Answers: 3

Show answers

Another question on Business

Business, 21.06.2019 20:30

Which of the following mechanisms would be most likely to motivate managers to act in the best interests of shareholders? a) decrease the use of restrictive covenants in bond agreements, b) take actions that reduce the possibility of a hostile takeover, c) elect a board of directors that allows managers greater freedom of action, d) increase the proportion of executive compensation that comes from stock options and reduce the proportion that is paid as cash salaries, e) eliminate a requirement that members of the board directors have a substantial investment in the firm's stocks

Answers: 2

Answer

Business, 21.06.2019 23:10

You are the new chief information officer for the video-game developer, necturus games. the company has recently undergone a major expansion of its primary product, and you must staff up the is department and determine the best way to develop new game "capsules" for the game, "escape velocity."

Answers: 1

Answer

Business, 22.06.2019 02:40

Which critical success factor improves with reduced cycle time, better quality standards, and improved efficiency when an is is implemented?

Answers: 3

Answer

Business, 22.06.2019 05:30

From a business perspective, an information system provides a solution to a problem or challenge facing a firm and represents a combination of management, organization, and technology elements. the organization's hierarchy, functional specialties, business processes, culture, and political interest groups are components of which element of information systems?

Answers: 1

Answer

You know the right answer?

Each year, Tom and Cindy Bates (married filing jointly) report itemized deductions of $20,000 (which...

Questions