Question

Saved Golf Academy, Inc., provides private golf lessons. Its unadjusted trial balance at December 31, 2018, follows, along with information about selected accounts Credit Account Names Cash Supplies Deferred Revenue Debit $31,600 540 $ 3,170 Salaries and Wages payable Income Tax Payable Interest Payable Notes Payable (long-term) Common Stock Retained Earnings Service Revenue Further Information As reported on December 31 bank statement. Based on count, only $170 of supplies still exist. Of this amount, $2,700 was received for December lessons and $470 for January lessons. Employees were paid $2,300 for 10 days of work through December 28. They have not yet been paid for work on December 29 and 30. The company has paid last year's income tax but not this year's tax. The company has not paid the $105 of interest owed on its notes payable for the current period. This one-year note was taken out this year on December 1. This amount was contributed for common stock in prior years. This is the balance reported at the end of last year Most customers pay cash for lessons each time they are provided, but some customers pay in advance. Employees worked through December 30, but did not work on December 31. This is the cost of supplies used through November 30. The company has not paid the $105 of interest owed on its notes payable for the current period. The company has an average tax rate of 20%. 12,600 1,000 2,700 50,570 Salaries and Wages Expense 35,800 Supplies Expense Interest Expense 2,100 a Income Tax Expense Totals $70,040 $7e, e4e
just need income tax expense/payable

Answer 1

Income tax expense /payable = net income( retained earning) × average tax rate

=2700×10%

=2700×10/100

=$270.

Income tax expense / payable is $270 .

Thank you .