Corporate Income Taxes Research Paper Look at the files below. Open the power point below and write about the same topic please.Follow all instructions ple

Corporate Income Taxes Research Paper Look at the files below. Open the power point below and write about the same topic please.Follow all instructions please. 1/26/2019
#GEA1 Prewriting Assignment
#GEA1 Prewri ng Assignment
Submit Assignment
Due Sunday by 11:59pm
Points 10
Submitting a file upload
File Types doc and pdf
Available until Jan 27 at 11:59pm
#GEA 1
Prewriting
Impact of Human and Cultural Diversity on Globalization
Due: Sunday, January 27, by 11:59 pm
This assignment is part 1 of the #GEA1: Impact of Human and Cultural Diversity on Globalization assignment.
The rubric for this assignment is located at the end of the assignment description.
Overview:
For this prewriting assignment, students will engage with the early research and writing steps necessary to produce a high­
quality essay.
Students will:
Choose a concept from your assigned chapter
Explain the concept in your own words, and briefly explain why you find it interesting
Conduct research
Develop a thesis statement (https://writingcenter.unc.edu/tips­and­tools/thesis­statements/)
Engage in a critical review and feedback process designed to:
1. hone students’ abilities to engage in constructive and professional criticism necessary in most workplace settings;
2. help peers improve and polish their work prior to submitting to a public audience; and
Help students improve, revise (https://writingcenter.unc.edu/tips­and­tools/revising­drafts/) , and polish their own work
through the process of determining what they find well or poorly done in the work of others.
Write an annotated bibliography (https://writingcenter.unc.edu/tips­and­tools/annotated­bibliographies/) of your
sources
Step 1: Choose and summarize your concept
After re­reading your assigned chapter, choose one concept that you find interesting in some way. It may be something you
wish to know more about, something that you want to understand better, something that bothered you, something you found
fascinating, etc.
Once you have chosen the concept you want to write about, summarize the concept in your own words. You may wish to
look up additional resources to help you understand the concept more clearly. In any event, you should offer in­text
citations
(https://owl.purdue.edu/owl/research_and_citation/apa_style/apa_formatting_and_style_guide/in_text_citations_the_basics.html)
for whatever sources you use to write your summary (full citations not necessary for this part).
As part of your summary, explain why this concept interests you.
https://usflearn.instructure.com/courses/1343163/assignments/6455855
1/4
1/26/2019
#GEA1 Prewriting Assignment
Step 2: Conduct research
Next, you will conduct research. You must locate two credible sources outside of your textbook. One of your credible sources
will agree with the perspective offered by the author of your textbook. The other credible source will disagree with the
perspective offered by the author of your textbook. If you have exhausted all resources and simply cannot find sources of
opposing/different perspectives, then you must choose another concept.
Read the UNC Chapel Hill Writing Center Handout on “Evaluating Print Sources,” (https://writingcenter.unc.edu/tips­and­
tools/evaluating­print­sources/) and utilize the CRAAP Test (https://www.csuchico.edu/lins/handouts/eval_websites.pdf) to
ensure that you are using credible sources. Sources that are not found to be credible will result in an evaluation of 0 for that
part of the grading rubric.
Step 3: Annotated Bibliography
(https://writingcenter.unc.edu/tips­and­tools/annotated­bibliographies/)
Now that you have gathered all your resources, you will develop an annotated bibliography. Your bibliography will include
only 3 entries:
Your textbook
Credible source that agrees
Credible source that disagrees
Include the information below, and structure accordingly:
Name of author(s); date published; title of work; organization that published the work (e.g., book publisher, government
organization, journal name, etc.)
Type of source (e.g., academic article, book, government or organizational report, etc.)
Full APA
(https://owl.purdue.edu/owl/research_and_citation/apa_style/apa_formatting_and_style_guide/general_format.html) source
citation (provide a complete APA
(https://owl.purdue.edu/owl/research_and_citation/apa_style/apa_formatting_and_style_guide/general_format.html) style
citation that is consistent with the source type and APA
(https://owl.purdue.edu/owl/research_and_citation/apa_style/apa_formatting_and_style_guide/general_format.html)
guidelines for that particular source type; utilize the resources suggested to you to properly complete this step)
Bibliographic annotation (100­150 words, required for all 3 sources).
Your bibliographic annotations must:
1. Summarize the central idea (argument/thesis) of the source
2. Briefly explain the qualifications of the source (author(s), organization, etc.) to speak as an authority on the topic
3. Describe what the resource is (e.g., if the resource is a report, explain what the report covers, why it was made, what
audience it is intended for, etc.; if the resource is a book, explain what the book is about, what it covers, what audience it
is intended for, etc.) and how the resource is useful to your essay
Step 4: Thesis Statement
(https://writingcenter.unc.edu/tips­and­tools/thesis­statements/)
Now that you have a firm grip on your concept and the adjacent and opposing arguments, you will develop your thesis
statement. Starting with a strong, well­informed thesis statement
(https://writingcenter.unc.edu/tips­and­tools/thesis­
statements/) will help you with the overall organization and clarity of your essay.
As you are writing your essay, you may find that your essay does not go in the direction you expected, or perhaps you will
change your mind regarding your position on your concept. That is fine, and you can amend your thesis statement. In fact,
most authors end up amending their thesis statements after they have completed their work to more accurately reflect the
end result of the writing process. However, starting with a strong, clear thesis will help anchor your essay and focus your
writing.
https://usflearn.instructure.com/courses/1343163/assignments/6455855
2/4
1/26/2019
#GEA1 Prewriting Assignment
Step 5: Organize your prewriting assignment and submit
Organize your prewriting assignment as laid out above.
Include your name, course title and section, and the date at the top
Clearly label each section for easy identification
Remember that this prewriting assignment is not an essay, and should not be organized as such
Submit your prewriting assignment NO LATER THAN Sunday, January 27, by 11:59 pm
Assignment 1: Prewriting
https://usflearn.instructure.com/courses/1343163/assignments/6455855
3/4
1/26/2019
#GEA1 Prewriting Assignment
Criteria
Concept
To earn marks for this section, students must specify and explain the concept
they have chosen to focus on clearly and concisely.
1 source that agrees
To earn marks in this section, students must include an annotation for one
source that is in agreeance with the position of the author of the textbook.
The source cannot include the author of the textbook as one of the authors of
the source that agrees.
1 source that disagrees
To earn marks in this section, students must include an annotation for one
source that disagrees with the position of the author of the textbook. The
source cannot include the author of the textbook as one of the authors of the
source that disagrees.
Annotated Bibliography
All three sources listed in the assignment (the textbook, a credible source that
agrees, and a credible source that disagrees) are annotated as specified in
the assignment.
Thesis statement
To earn marks for this section, students must include a 1­2 sentence thesis
statement as outlined in the assignment, and as described by the UNC
“Thesis Statements” handout.
Ratings
2.0 pts
Concept is
named and
clearly
explained.
2.0 pts
Complete
1.0 pts
Concept is
named but
not clearly
explained
Pts
0.0 pts
Concept is
not named
or is not
defined.
0.0 pts
Incomplete
1 source that agrees is either not
included, or the authors of the
source include the author of the
Globalization textbook.
2.0 pts
Complete
2.0 pts
0.0 pts
Incomplete
Not all three sources are
annotated, or the sources are
annotated in a way that does not
fulfill the requirements described in
the assignment.
2.0 pts
Complete
2.0 pts
0.0 pts
Incomplete
1 source that disagrees is either not
included, or the authors of the
source include the author of the
Globalization textbook.
2.0 pts
Complete
2.0 pts
2.0 pts
0.0 pts
Incomplete
Thesis statement is not included, is
not clearly defined, exceeds 1­2
sentences, or is unintelligible.
2.0 pts
Total Points: 10.0
https://usflearn.instructure.com/courses/1343163/assignments/6455855
4/4
Chapter Outline
 Individual income taxes
 Corporate income taxes
 Income tax rates at federal and state levels
 Capital gains and losses for non-depreciated assets
 After-tax cash flows and after-tax rate of return
 Spreadsheets and after-tax cash flows
ENG3615-Engineering Economics
2
Learning Objectives
 Taxes and tax tables
 Calculate taxes for both individuals and corporations
 Determine the combined income tax rates and marginal
income tax rates
 Develop after-tax cash flows for a project
 Evaluate an investment on an after-tax basis including asset
disposal
 Use spreadsheet in solving after-tax economic analysis
problems
ENG3615-Engineering Economics
3
Vignette: On with the Wind
 Technology for renewable energy has
been available for many years.
 Transition to greater use of wind
power requires a significant
investment.
• Federal tax law in the Energy Policy Act of 1992 allowed
utilities a “production tax credit” of 1.5¢ per kWh.
• With the tax credit and the advances in technology, many
wind plants can now produce power for less 5¢ per kWh.
ENG3615-Engineering Economics
4
Vignette: On with the Wind
• Should government support wind energy through tax
credit?
• What are the costs and benefits of wind technology
from the perspectives of the producers, consumers,
and society in general. Are there any ethical issues?
• What is the effect on wind energy investment if the
wind power production tax credit is allowed to expire, or
is extended for only a few years?
• Using internet, can you determine how tax rates
changed throughout the course of the 20th century?
How has this affected the value of tax credits to
industry?
ENG3615-Engineering Economics
5
Income Taxes
 An give an overview of federal income taxes.
 Taxes are very complex. Lifetime task
 No realistic economic analysis can ignore taxes.
 Tax laws change regularly. E.g. Table 12-1, 2007 Tax
Rates for individuals, does not apply for 2010.
 Sources of information on taxes include:
 http://www.irs.gov
 “Your Federal Income Taxes”, free from IRS by mail
 TurboTax (PC software for doing individual taxes)
 Individuals and corporations pay taxes.
ENG3615-Engineering Economics
6
A Partner in the Business
 U.S. Government is a partner in every business
activity
 Government shares profits through income taxes
 Government shares losses through income taxes
Related Point of View:
Think of taxes as one more disbursement
(like operating costs, maintenance, labor and
materials, etc.)
ENG3615-Engineering Economics
7
Taxable Income of Individuals
+
Wages, salary, etc
Interest Income
Dividends
Capital Gains
Unemployment
Compensation
Other Income
Gross Income
Gross Income
–
Retirement Contribution
Other Adjustments
Adjusted Gross Income (AGI)
– Personal Exemption(s)
– Itemized or Std. Deduction
Taxable Income
ENG3615-Engineering Economics
8
Taxable Income of Individuals (2007)
Personal Exemption:
• One exemption per dependent ($3400 for 2007 returns)
Itemized Deduction:
• Medical and dental expenses (exceeding 7.5% of AGI)
• State and local income, real estate, and personal property tax
• Home mortgage interest
• Charitable contributions
• Casualty and theft losses (exceeding $100 + 10% of AGI)
• Job expenses and certain miscellaneous deductions (some
categories must exceed 2% of AGI)
Standard Deduction:
• Single taxpayers, $5,350 for 2007 returns
• Married taxpayers filing jointly, $10,700 for 2007 returns
ENG3615-Engineering Economics
9
Taxable Income of Individuals (2009)
Personal Exemption:
• One exemption per dependent ($3650 for 2009 returns)
Itemized Deduction:
• Medical and dental expenses (exceeding 7.5% of AGI)
• State and local income, real estate, and personal property tax
• Home mortgage interest
• Charitable contributions
• Casualty and theft losses (exceeding $100 + 10% of AGI)
• Job expenses and certain miscellaneous deductions (some
categories must exceed 2% of AGI)
Standard Deduction:
• Single taxpayers, $5,700 for 2009 returns
• Married taxpayers filing jointly, $11,400 for 2009 returns
ENG3615-Engineering Economics
10
Classification of Business
Expenditures
 There are three distinct types of business
expenditures:
 for depreciable assets (e.g. equipment, buildings);
 for non-depreciable assets (e.g., land, minerals);
 all other business expenditures (e.g., labor, materials).
 Expenditures for depreciable assets. See Chapter 11.
ENG3615-Engineering Economics
11
Classification of Business
Expenditures
 Expenditures for non-depreciable assets. Non-
depreciable assets include:
 land (land has no finite life);
 properties not used either in a trade, business, or for the
production of income (e.g., home, automobile).
 Assets subject to depletion (Chapter 11 again).
 Since firms usually acquire assets for use in the
business, their only non-depreciable assets normally
are land and assets subject to depletion.
ENG3615-Engineering Economics
12
Classification of Business
Expenditures
 All other business expenditures. This is probably the
largest category. It includes all the ordinary and
necessary expenditures of operating a business,
including the following:
labor costs;
2. materials;
3. all direct and indirect costs;
4. facilities and productive equipment with a useful life of
one year or less.
1.
 These are all routine expenditures.
ENG3615-Engineering Economics
13
Classification of Business
Expenditures
 Recall there are three distinct types of business
expenditures:
 for depreciable assets;
for non-depreciable assets;
 all other business expenditures.
Capital Expenditures
Expense Expenditures
 Entering capital expenditures into the accounting
records of the firm (the “books”) is called capitalizing
them.
 Entering all other business expenditures into the
accounting records is called expensing them.
ENG3615-Engineering Economics
14
Example 12-1 Taxable Income
 Example: A firm has the following results (in millions of
dollars) for a 3-year period. Compute the taxable income for
each of the 3 years.
Year 1
Year 2
Year 3
Gross income from sales
$200
$200
$200
Purchase of special tooling (useful life: 3
years)
-$60
All other expenditures
-$140
-$140
-$140
Cash results for the year
$0
$60
$60
 Since the special tooling has a 3-year useful life, it is a capital
expenditure.
ENG3615-Engineering Economics
15
Example 12-1 Taxable
Income
Year
1
Year
2
Year
3
Gross income from sales
$200
$200
$200
Purchase of special tooling
(useful life: 3 years)
-$60
All other expenditures
-$140
-$140
-$140
Cash results for the year
$0
$60
$60
Since the special tooling has a 3-year useful life, it is a
capital expenditure.
For SL depreciation and no salvage value:
the annual depreciation charge is (P-S)/N = (60-0)/3 =
$20 million;
taxable income = 200 – 140 – 20 = $40 million for each
of the three years.
ENG3615-Engineering Economics
16
Example 12-1 Taxable Income
Actual cash flows:
Gross income
Purchase of special tooling
All other expenditures
Cash flows for the year
Year 1
$200
-60
-140
$0
Year 2
$200
0
-140
$60
Year 3
$200
0
-140
$60
Year 1
$200
-140
-20
$40
Year 2
$200
-140
-20
$40
Year 3
$200
-140
-20
$40
Taxable Income:
Gross income
All other expenditures
Depreciation charges
Cash flows for the year
ENG3615-Engineering Economics
17
Max. Tax Rates (%)
Maximum Federal Income Tax Rates for
Individuals
100
90
80
70
60
50
40
30
20
10
0
1960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010
Year
ENG3615-Engineering Economics
18
2007 Individual Tax rates
Tax Rate
Single
Married/Joint Married/Separate
Head of
Household
10%
$0
$0
$0
$0
15%
$7,825
$15,650
$7,825
$11,200
25%
$31,850
$63,700
$31,850
$42,650
28%
$77,100
$128,500
$64,250
$110,100
33%
$160,850
$195,850
$97,925
$178,350
35%
$349,700
$349,700
$174,850
$349,700
ENG3615-Engineering Economics
19
2007 Federal Income Tax Rates
for Individuals
Single Taxpayers
Taxable Income
Over
But Not Over
Tax
Base Tax
Plus
On Income
Over
$0
7,825
$0.00
10%
$0
7,825
31,850
782.50
15%
7,825
31,850
77,100
4,386.50
25%
31,850
77,100
160,850
15,698.75
28%
77,100
160,850
349,700
39,148.75
33%
160,850
101,469.25
35%
349,700
Over 349,700
ENG3615-Engineering Economics
20
2007 Federal Income Tax Rates
for Individuals
Married Individuals Filing Jointly
Taxable Income
Over
But Not Over
Tax
Base Tax
Plus
On Income
Over
$0
$15,650
$0.00
10%
$0
15,650
63,700
1,565.00
15%
15,650
63,700
128,500
8,772.50
25%
63,700
128,500
195,850
24,972.50
28%
128,500
195,850
349,700
43,830.50
33%
195,850
94,601.00
35%
349,700
Over 349,700
ENG3615-Engineering Economics
21
2009 Individual Tax rates
Tax Rate
Single
Married/Joint Married/Separate
Head of
Household
10%
$0
$0
$0
$0
15%
$8,350
$16,700
$8,350
$11,950
25%
$33,950
$67,900
$33,950
$45,500
28%
$82,250
$137,050
$68,525
$117,450
33%
$171,550
$208,850
$104,425
$190,200
35%
$372,950
$372,950
$186,475
$372,950
ENG3615-Engineering Economics
22
2009 Federal Income Tax Rates
for Individuals
Married Individuals Filing Jointly
Taxable Income
Over
But Not Over
Tax
Base Tax
Plus
On Income
Over
$0
$16,700
$0.00
10%
$0
16,700
67,900
1,670.00
15%
16,700
67,900
137,050
9,350.00
25%
67,900
137,050
208,850
26,637.50
28%
137,050
208,850
372,950
46,741.50
33%
208,850
100,894.50
35%
372,950
Over 372,950
ENG3615-Engineering Economics
23
2011 Individual Tax rates
Tax Rate
Single
Married/Joint Married/Separate
Head of
Household
10%
$0
$0
$0
$0
15%
$8,500
$17,000
$8,500
$12,150
25%
$34,500
$69,000
$34,500
$46,250
28%
$83,600
$139,350
$69,675
$119,400
33%
$174,400
$212,300
$106,150
$193,350
35%
$379,150
$379,150
$189,575
$379,150
ENG3615-Engineering Economics
24
Example 12-2 – Taxable Income of Individuals
An unmarried student earned $10,000 in the summer
plus another $6000 during the rest of 2007. He is
allowed one exemption and he spent $1000 on
allowable itemized deductions.
Gross Income = Adjusted Gross Income (AGI)
= $10,000+6000 = $16,000
$1000 (itemized deductions) < $5350 (standard deduc) Taxable Income = AGI - Exemption – Standard Deduction = $16,000 – 3,400 – 5,350 = $7,250 Tax = 10%(7,250) = $725 ENG3615-Engineering Economics 25 Problem 12-4 Taxable Income of Individuals A married couple filing jointly had a combined total adjusted gross income (AGI) of $75,000, and allowable itemized deductions of $4,000 in 2009. Compute their 2009 federal income tax. Solution $4000 (itemized deductions) < $11400 (standard deduc) Taxable Income = AGI - Exemption – Standard Deduction = $75,000 – 2(3,650) –11,400 = $56,300 Tax = 10%(16,700) + 15%(56,300 – 16,700) = $7,610 ENG3615-Engineering Economics 26 Federal Corporate Income Tax Rates Tax Year 2010 2009 2008 2007 2006 2005 2004 and 2003 Federal United States (USA) Corporate Tax Rates Personal service corporat... Purchase answer to see full attachment