West Coast Tours runs boat tours along the west coast of British Columbia. On March 5, 2020, it purchased, with cash, a cruising boat for $846,000, having a useful life of 10 years or 12,900 hours, with a residual value of $201,000. The company’s year-end is December 31.

Required:
Calculate depreciation expense for the fiscal years 2020, 2021, and 2022 by completing a schedule. (Note: Depreciation is calculated to the nearest month. Assume actual hours of service were: 2020, 750; 2021, 1,810; 2022, 1,565.)

Martinez Corporation prepared the following reconciliation for its first year of operations:

The temporary difference will reverse evenly over the next two years. The enacted tax rate for 2020 and future years is 20%. The amount reported as net deferred income taxes on Martinez's balance sheet at December 31, 2020, should be a Deferred Tax  of $   .

Provide whether the balance sheet account is a Deferred Tax "Asset" or "Liability" and the value.

On January 1, 2019, Company X has an asset with a cost of $300,000 and accumulated

depreciation of $120,000. Estimated future cash inflows are $150,000 and the fair value

is $125,000. There is a 5-year remaining life and the company uses straight-line

depreciation. The asset will continue to be used in operations. At the beginning of

2020, Company X determines the fair value of the asset to be $160,000. Prepare entries

for 2019 and 2020.

IFRS: Assume the same facts except that Company X uses IFRS. Prepare the necessary

journal entries for 2019 and 2020.

On January 1, 2014, Stark Company purchased equipment for a total cost of $155,000. The equipment had an estimated useful life of 7 years and an estimated residual value of $43,000. Straight-line depreciation was used. On September 1, 2020, Stark Company disposes of the equipment. Required: Prepare the journal entry to record the disposition on September 1, 2020 assuming the equipment was sold for $39,000 cash. Prepare the journal entry to record the disposition on September 1, 2020 assuming the equipment was exchanged for $30,000 cash and a machine valued at $30,000

A company's net income for 2020 is $50,000. It has 2,000 stock options outstanding. These options were issued during 2019, each exercisable for one share at $37. None has been exercised. 40,000 shares of common were outstanding during 2020. Suppose the average market price of the company’s stock during 2020 can be 44, 46, 27, or 54. For which average market price will these stock options be antidilutive? Please enter one (and only one) of the average market prices provided by the problem.

A company's net income for 2020 is $50,000. It has 2,000 stock options outstanding. These options were issued during 2019, each exercisable for one share at $37. None has been exercised. 40,000 shares of common were outstanding during 2020. Suppose the average market price of the company’s stock during 2020 can be 44, 46, 27, or 54. For which average market price will these stock options be antidilutive? Please enter one (and only one) of the average market prices provided by the problem.

• For 2020, Heidi, who is single has properly determined that her taxable income is $81,800, including $1,200 of unrecaptured § 1250 gain and $5,000 of 0%/15%/20% gain. Compute Heidi's tax liability (hint use capital gain table)
• Mort owns 500 shares of Pear, Inc. stock with an adjusted basis of $22,000. On July 28, 2020, he sells 100 shares for $3,000. On August 16, 2020, he purchases another 100 shares for $3,400. What are the tax consequences of these transactions?

1. Interpret the tables trend for revenue, expense & dividend year by year comparing both company?

Assume that TDW Corporation (calendar-year-end) has 2020 taxable income of $654,000 for purposes of computing the §179 expense. The company acquired the following assets during 2020: (Use MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.)

a. What is the maximum amount of §179 expense TDW may deduct for 2020?