Jack flubber, who owns sons of flubber construction co., and runs it as a proprietorship, had gross profits last year of $80,000. his personal and family expenses are $52,000 and he has $7,000 in exemptions and deductions. he paid $17,000 in taxes. if he paid himself a salary of $55,000 taxed at 20%, would it be advantageous for him to incorporate as a closely held corporation? explain.

What is the eventual effect on real gdp if the government increases its purchases of goods and services by $80,000? assume the marginal propensity to consume (mpc) is 0.75. $ what is the eventual effect on real gdp if the government, instead of changing its spending, increases transfers by $80,000? assume the mpc has not changed. $ an increase in government transfers or taxes, as opposed to an increase in government purchases of goods and services, will result in an identical eventual effect on real gdp. a smaller eventual effect on real gdp. a larger eventual effect on real gdp. no change to real gdp.

Last year, johnson mills had annual revenue of $37,800, cost of goods sold of $23,200, and administrative expenses of $6,300. the firm paid $700 in dividends and had a tax rate of 35 percent. the firm added $2,810 to retained earnings. the firm had no long-term debt. what was the depreciation expense?

From what part of income should someone take savings?