Solution-Calculate taxable income and income tax payable

Calculate taxable income and income tax payable

Reference no: EM132820022

Flint Corporation purchased equipment very late in 2020. Based on generous capital cost allowance rates provided in the Income Tax Act, Flint Corporation claimed CCA on its 2020 tax return but did not record any depreciation because the equipment was being tested. This temporary difference will reverse and cause taxable amounts of $29,800 in 2021, $30,400 in 2022, and $45,600 in 2023. Flint's accounting income for 2020 is $223,600 and the tax rate is 30% for all years. There are no deferred tax accounts at the beginning of 2020.

Problem 1: Calculate the deferred tax balance at December 31, 2020.

Problem 2: Calculate taxable income and income tax payable for 2020.

Problem 3: Prepare the journal entries to record income taxes for 2020

Reference no: EM132820022

Questions Cloud

Calculate the copy department costs allocated to sales : Triton Company's copy department, which does almost all of the photocopying for the sales department and the administrative department

Calculate earnings per share for kent inc : If Joey's Ltd. had earnings per share of $18.28 for 2020, which companies shares would you chose to invest in if you had to pick one, Kent's Inc. or Joey's Ltd?

Schenker Import and Export : What would you do differently as a decision maker in to respond to the current global conditions. Why?

Define contemporary police event of behavioral significance : Summarize the depicted event in your words (what happened?) identify why you think the behavior was a result of police cultural influence.

Calculate taxable income and income tax payable : Calculate taxable income and income tax payable for 2020. Based on generous capital cost allowance rates provided in the Income Tax Act, Flint Corporation claim

Compute the probability that 2 or fewer will withdraw : A university found that 20% of its students withdraw without completing the introductory statistics course. Assume that 20 students registered for the course.

What is the probability that the web site : (a) What is the probability that the web site has fewer than 5 million visitors in a single day? If needed, round your answer to four decimal digits.

Calculate the deferred tax balances at december : Calculate the deferred tax balances at December 31, 2021 and 2022. Whispering Winds Corporation purchased equipment very late in 2020.

Establishes the theme and goals of presentation : Develop a slide that establishes the theme and goals of the presentation. Define and discuss the PLC concept and its importance to marketing managers.

User Account

All Pages

Calculate taxable income and income tax payable

Reference no: EM132820022

Reference no: EM132820022

Questions Cloud

Reviews

Write a Review

Accounting Basics Questions & Answers

How much control does fed have over this longer real rate

Coures:- fundamental accounting principles

Accounting problems

Theory of interest - term structure of interest rates

Write a report on internal controls

Prepare the bank reconciliation for company

Cost-benefit analysis

Theory of interest

Liquidity and profitability

What is the expected risk premium on the portfolio

Simple interest and compound interest

Capm and venture capital

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT