Financial Management
Amstel did not pay tax in Year 1 or Year 2. In Year 3, the loss carryforwards reduced taxable income to CAD 5,000 (55,000 + 75,000 – 125,000). Taxes were paid in Years 3, 4, and 5 at a rate of 25%, but these amounts were refunded after Year 6 due to the large business loss ((5,000 + 125,000 + … ................
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