According to Table 8-1, which describes a production problem, which of the following would be a necessary constraint in the problem?

A) T + C ? 40
B) T + C ? 200
C) T + C ? 180
D) 120T + 80C ? 1000
E) None of the above


A

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RGD Corporation was a C corporation from its inception in 2014 through 2018. However, it elected S corporation status effective January 1, 2019. RGD had $50,000 of earnings and profits at the end of 2018. RGD reported the following information for its 2019 tax year.DescriptionAmountConsulting revenue$99,000 Salary to owners (40,000)Employee wages (30,000)Depreciation expense (5,000)Municipal bond interest 6,000 Interest income 42,000 Dividend income 25,000 Overall net income$97,000 What amount of excess net passive income tax is RGD liable for in 2019? Assume the corporate tax rate is 21%.

What will be an ideal response?

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A) focusing on creating new markets B) developing new expectation levels C) establishing new standards D) stressing brand superiority E) changing habits

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A. repeat business B. frequent sales C. big sales D. highly profitable sales

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