finance after tax profit margin

posted by .

The ABC Corp. had net income before taxes of $400,000 and sales of $2,000,000. If it is in the 50% tax bracket its after-tax profit margin is:

A. 5%
B. 10%
C. 20%
D. 25%

400,000 take away 50% for taxes leaves 200,000.

200,000 after-taxes divided 2,000,000 total sales = 10%

B 10% FINAL ANSWER

Respond to this Question

First Name
School Subject
Your Answer

Similar Questions

  1. finance part 2

    11. Whit a Subchapter S corporation A. corporate income is taxed as directed income to stockholders B. stockholders have the same liability as members of a partnership C. the number of stockholders is unlimited D. life of the corporation …
  2. Finance (after-tax cost)

    Assuming a tax rate of 50%, the after-tax cost of a $200,000 dividend payment is?
  3. finance (after-tax profit margin)

    The ABC Corp. had net income before taxes of $4000,000 and sales of $2,000,000. If it is in the 50% tax bracket its after-tax profit margin is?
  4. Accounting

    Absorption Income versus Contribution Margin Income Absorption Income versus Contribution Margin Income Given the computations for both gross profit on sales and contribution margin, can you give specific benefits to be derived from …
  5. Finance 200

    The Bubba Corp. had earnings before taxes of $200,000. and sales of $2,000,000. If it is in the 50% TAX BRACKET ITS AFTER-TAX PROFIT MARGIN IS?
  6. Finance

    NET INCOME BEFORE TAXES OF $200,000 AND SALES OF $2,000,000. IF IT IS IN THE 50% TAX BRACKET, WHAT WOULD IT'S AFTER TAX PROFIT MARGIN BE?
  7. Finance

    Trying to figure out how to do problems like these. So confused! 1. The receivables turnover for 2009 is 10 times. 2. All sales are on account. 3. The profit margin for 2009 is 14.5%. 4. Return on assets is 22% for 2009. 5. The current …
  8. finance

    the bubba corp. had net income before taxes of $200.000 and sales of $200.000. if it is in the 50% tax bracket ifs after tax profit margin is?
  9. financial planning

    corp had earnings before taxes of $400,000 and sales of $2,000,000. If it is in the 40% tax bracket its after tax profit margin is?
  10. Tax

    The corp has domestic taxable income of $400,000 and foreign-source taxable income of $200,000. Their U.S. tax on worldwide income is $204,000. The corp paid foreign income taxes of $65,000. What is their foreign tax credit on their …

More Similar Questions