calculate the corporate income tax for quarter 1. use a corporate income tax rate of 21%.\nincome…

calculate the corporate income tax for quarter 1. use a corporate income tax rate of 21%.\nincome statement\n| |q1 (x1000)|q2 (x1000)|\n|--|--|--|\n|net sales|200|235|\n|cogs|(70)|(85)|\n|gross profit|130|150|\n|overhead|(40)|(50)|\n|pre - tax income|90|100|\ncorporate income tax = $?\nmultiply the product by 1000 to answer in dollars.

calculate the corporate income tax for quarter 1. use a corporate income tax rate of 21%.\nincome statement\n| |q1 (x1000)|q2 (x1000)|\n|--|--|--|\n|net sales|200|235|\n|cogs|(70)|(85)|\n|gross profit|130|150|\n|overhead|(40)|(50)|\n|pre - tax income|90|100|\ncorporate income tax = $?\nmultiply the product by 1000 to answer in dollars.

Answer

Explanation:

Step1: Identify pre - tax income for Q1

Pre - tax income for Q1 is 90 (in thousands).

Step2: Calculate corporate income tax rate amount

The tax rate is 21% or 0.21. Multiply pre - tax income by tax rate: $90\times0.21 = 18.9$ (in thousands).

Step3: Convert to dollars

Multiply the result by 1000: $18.9\times1000=18900$.

Answer:

18900