Waldman Corporation reported pretax accounting income of $100,000, but due to a permanent difference, taxable income...

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Waldman Corporation reported pretax accounting income of $100,000, but due to a permanent difference, taxable income is only

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Answer 1

Answer #1

Income as per books. $ 100,000

Tax

Income tax ( 60000×25%) = 15000

Deferred tax : no deferred tax as the difference is permanent

Therefore net income in income statement = 100000-15000= $ 85000

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Answer 2

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