Fern co has net income before taxes of 200000 the tax rate


Question - Fern Co. has net income, before taxes, of $200,000, including $20,000 interest revenue from municipal bonds and $10,000 paid for officers' life insurance premiums where the company is the beneficiary. The tax rate for the current year is 30%. What is Fern's effective tax rate?

27.0%

28.5%

31.5%

30.0%

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Accounting Basics: Fern co has net income before taxes of 200000 the tax rate
Reference No:- TGS02754649

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