Question

Coronado Inc. has an investment in trading securities of $150000. This investment experienced an unrealized loss of $7300 during the current year. Assuming a 35% tax rate, the effect of this loss on comprehensive income will be

Answer 1

Total loss= $4,745

Step-by-step explanation:

Giving the following information:

Coronado Inc. has an investment in trading securities of $150000. This investment experienced an unrealized loss of $7300 during the current year. Assuming a 35% tax rate.

Loss= 7,300

Tax savings= (7,300*0.35)= (2,555)

Total loss= $4,745