Opus Limited is a CCPC. In 2023, the company received the following dividends: $ 35,000 55,000 40,000 Dividends on Portfolio Investments Dividends from Magnum Inc. [(100%) ($55,000)] Dividends from Masterpiece Ltd. [ (40%) ($100,000)] Opus owns 100% of the shares of Magnum Inc. and 40% of the shares of Masterpiece Ltd. Masterpiece received a dividend refund of $10,000 on its dividend payment, while Magnum received a dividend refund of $15,000. Required: Determine the amount of Part IV Tax payable by Opus Limited for the current year.

Opus Limited is a CCPC. In 2023, the company received the following dividends: $ 35,000 55,000 40,000 Dividends on Portfolio Investments Dividends from Magnum Inc. [(100%) ($55,000)] Dividends from Masterpiece Ltd. [ (40%) ($100,000)] Opus owns 100% of the shares of Magnum Inc. and 40% of the shares of Masterpiece Ltd. Masterpiece received a dividend refund of $10,000 on its dividend payment, while Magnum received a dividend refund of $15,000. Required: Determine the amount of Part IV Tax payable by Opus Limited for the current year.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Opus Limited is a CCPC. In 2023, the company received the following dividends: Dividends on Portfolio Investments Dividends from Magnum Inc. [(100%) ($55,000)] Dividends from Masterpiece Ltd. [(40%) ( $100,000)] $ 35,000 55,000 40,000 Opus owns 100% of the shares of Magnum Inc. and 40% of the shares of Masterpiece Ltd. Masterpiece received a dividend refund of $10,000 on its dividend payment, while Magnum received a dividend refund of $15,000. Required: Determine the amount of Part IV Tax payable by Opus Limited for the current year. Part iv tax rate: 38
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