Compute income taxes payable for 2010

Assignment Help Accounting Basics
Reference no: EM131108617

1. (One Temporary Difference, Future Taxable Amounts, One Rate, Beginning Deferred Taxes) Brennan Corporation began 2010 with a $90,000 balance in the Deferred Tax Liability account. At the end of 2010, the related cumulative temporary difference amounts to $350,000 and it will reverse evenly over the next 2 years. Pretax accounting income for 2010 is $525,000, the tax rate for all years is 40%, and taxable income for 2010 is $400,000.

(a) Compute income taxes payable for 2010.

(b) Prepare the journal entry to record income tax expense, deferred income taxes, and income taxes payable for 2010.

(c) Prepare the income tax expense section of the income statement for 2010 beginning with the line "Income before income taxes." 

Reference no: EM131108617

Questions Cloud

Order to have approximate power at least : Consider a level α = .10 test of H0 (8.1) versus the alternative τ > 0 based on K. How many bivariate observations (n) will we need to collect in order to have approximate power at least .95 against an alternative for which τ = .6?
Monitor wan ping traffic : When using wireshark, and you want to monitor WAN ping traffic, you need to monitor what protocol, (ie pingwww.devry.edu)?
Write a program which will give the calendar for 3 mnth : Need the following assignment assembled Using MASM and notepad ++ for windows 8086 processor write a program which will give the calendar for atleast 3 months starting from November 2011 to January 2012 including the days/dates
Calculate the terminal cash flow at the end of year : They estimate that the old machine could be sold at the end of 4 years to net $15,000 before taxes; the new machine at the end of 4 years will be worth $75,000 before taxes. Calculate the terminal cash flow at the end of year 4 that is relevant to th..
Compute income taxes payable for 2010 : Prepare the income tax expense section of the income statement for 2010 beginning with the line "Income before income taxes."
How many dynasties were there in pharaonic egypt : How many dynasties were there in pharaonic Egypt, from the unification of Egypt ca. 3200 B.C. to the beginning of the Graeco-Roman period in 332 B.C.
Discuss the effect of sale price on terminal cash flow : Discuss the effect of usable life on terminal cash flows using your findings in part. Assuming a 5-year usable life, calculate the terminal cash flow if the machine were sold to net (1) $9,000 or (2) $170,000 (before taxes) at the end of 5 years. Dis..
Write an exponential function showing the relationship : Each year since, the population has grown by 8.4%.Let t be the number of years since start of the study. Let y be the city's population - Write an exponential function showing the relationship between y and t.
Several important computer hardware developments : What are several important computer hardware developments that you expect to happen in the next ten years. How will these affect the business use of computers? please provide references and explanation.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd