Future deductible amounts would be caused by Select one: a. Both Accelerated Tax Depreciation and Prepaid Expenses b. Accelerated Depreciation, but not Prepaid Expenses c. Prepaid Expenses, but not Accelerated Tax Depreciation d. Neither Accelerated Tax Depreciation nor Prepaid Expenses.
Answer ) Both accelerated Tax depreciation and prepaid expenses.
- Accelerated tax depreciation results in deduction of depreciation expense in future at increased rate.
- Each month expenses are amortized from prepaid expenses which are deductable
Future deductible amounts would be caused by Select one: a. Both Accelerated Tax Depreciation and Prepaid...
Two independent situations are described below. Each involves future deductible amounts and/or future taxable amounts produced by temporary differences: 17 1 2 $37,000 $77,000 SITUATION Taxable income Amounts at year-end: Future deductible amounts Future taxable amounts Balances at beginning of year, dr (cr): Deferred tax asset Deferred tax liability 4,700 11,300 @ 4,700 $ 1,200 $ 4,52€ 1 ,eee The enacted tax rate is 40% for both situations. Required: For each situation determine the: SITUATION (a) Income tax payable currently...
Four independent situations are described below. Each involves future deductible amounts and/or future taxable amounts produced by temporary differences: ($ in thousands) Situation $296 $164 16 $356 20 $500 16 Taxable income Future deductible amounts Future taxable amounts Balance(s) at beginning of the year: Deferred tax asset Deferred tax liability 8 2 The enacted tax rate is 25% Required: For each situation, determine the following: (Enter your answers in thousands rounded to one decimal place (.e. 1,200 should be entered...
Four independent situations are described below. Each involves future deductible amounts and/or future taxable amounts produced by temporary differences: The enacted tax rate is 25%. Required: For each situation, determine the following: (Enter your answers in thousands rounded to one decimal place (i.e. 1,200 should be entered as 1.2). Negative amounts should be indicated by a minus sign. Leave no cell blank, enter "0" wherever applicable.) ($ in thousands) Situation 2 3 $272 $308 1 $140 $428 16 16 Taxable...
Four independent situations are described below. Each involves future deductible amounts and/or future taxable amounts produced by temporary differences: $132 16 ($ in thousands) Situation 2 3 $264 $292 $404 20 20 16 16 76 Taxable income Future deductible amounts Future taxable amounts Balance(s) at beginning of the year: Deferred tax asset Deferred tax liability 2 The enacted tax rate is 25%. Required: For each situation, determine the following: (Enter your answers in thousands rounded to one decimal place (i.e....
Four independent situations are described below. Each involves future deductible amounts and/or future taxable amounts produced by temporary differences: ($ in thousands) Situation 1 2 3 4 Taxable income $ 152 $ 284 $ 332 $ 464 Future deductible amounts 16 20 20 Future taxable amounts 16 16 96 Balance(s) at beginning of the year: Deferred tax asset 2 26 4 Deferred tax liability 8 2 The enacted tax rate is 25%. Required: For each situation, determine the following: (Enter...
Four independent situations are described below. Each involves future deductible amounts and/or future taxable amounts produced by temporary differences: ($ in thousands) Situation 1 2 3 $120 $252 $268 16 20 1 16 16 $368 20 64 Taxable income Future deductible amounts Future taxable amounts Balance(s) at beginning of the year: Deferred tax asset Deferred tax liability The enacted tax rate is 25% Required: For each situation, determine the following: (Enter your answers in thousands rounded to one decimal place...
Four independent situations are described below. Each involves future deductible amounts and/or future taxable amounts produced by temporary differences: ($ in thousands) Situation $164 $296 Taxable income Future deductible amounts Future taxable amounts Balance(s) at beginning of the year: Deferred tax asset Deferred tax liability $356 20 16 $500 20 16 294 The enacted tax rate is 25%. Required: For each situation, determine the following: (Enter your answers in thousands rounded to one decimal place (.e. 1.200 should be entered...
Check my work 9 Four independent situations are described below. Each involves future deductible amounts and/or future taxable amounts produced by temporary differences: 0.9 points ($ in thousands) Situation 2 3 $ 223 $ 205 $ 272 21 21 16 16 32 $ 89 16 eBook Taxable income Future deductible amounts Future taxable amounts Balance(s) at beginning of the year: Deferred tax asset Deferred tax liability 2.2 4.4 10 2.2 2.2 Print The enacted tax rate is 40%. r References...
A “deferred tax asset” represents: (Select one) overpay An amount that will become taxable in future years An amount that will become deductible in future years An amount that will be taxable or deductible in future years
Check my work 7 Four independent situations are described below. Each involves future deductible amounts and/or future taxable amounts produced by temporary differences: 0.9 points 1 $ 85 15 ($ in thousands) Situation 2 3 4 $215 $195 $260 20 20 15 15 30 Skipped Taxable income Future deductible amounts Future taxable amounts Balance(s) at beginning of the year: Deferred tax asset Deferred tax liability 2 9 4 eBook 2 2 The enacted tax rate is 40%. Print References Required:...