Federal Taxes Lottery Winnings
The pair said they're looking forward to some traveling. The men chose the cash option of about $16. 7 million, leaving each with nearly $5. 7 million after taxes are paid. The odds of winning the Powerball jackpot are 1 in about 292 million.
Federal taxes due on lottery winnings
A person shows Powerball tickets she bought in San Lorenzo, Calif., on Jan. 12, 2016. (Marcio Jose Sanchez/AP Photo) MENOMONIE, Wis. —A western Wisconsin man will share his millions in lottery winnings with a longtime friend because of a promise they made to each other nearly three decades ago. Friends Tom Cook and Joseph Feeney shook hands in 1992 and promised that if either one of them ever won the Powerball jackpot, they would split the money. That promise came to fruition last month when Cook bought the winning ticket for a $22 million jackpot at Synergy Coop in Menomonie. When Cook called to give his friend the good news, Feeney couldn't quite believe it. "He called me, and I said, 'are you jerking my bobber? '" said Feeney, an avid fisherman. Cook retired after hitting the jackpot while Feeney was already retired. Neither has any extravagant plans for the winnings but are looking forward to enjoying more family time. "We can pursue what we feel comfortable with. I can't think of a better way to retire, " Cook said.
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Financial statements are mainly prepared for external users. There users are people who are outside of the company or organization itself and need information about it to base their financial decisions on. These external users typically fall into four main categories: Investors Creditors Competitors Regulators Investors and creditors analyze this set of statements to base their financial decisions on. They also look at extra financial reports like financial statement notes and the management discussion. The income statement and balance sheet accounts are compared with each other to see how efficiently a company is using its assets to generate profits. Company debt and equity levels can also be examined to determine whether companies are properly funding operations and expansions. Most investors and creditors use financial ratios to analyze these comparisons. There is almost no limit to the amount of ratios that can be combined for analysis purposes. These ratios by themselves rarely give outside users and decision makers enough information to judge whether or not a company is fiscally sound, however.
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