Current portion of inventive total income tax expense

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Reference no: EM13149462

Inventive Corporation's income statement for the year ended December 31, 2011, shows pretax income of $300,000. The following items are treated differently on the tax return and in the accounting records:

Tax Accounting

Return Records
Warranty expense ......................$170,000 $185,500
Depreciation expense ..................150,000 100,000
Premiums on officers' life insurance .. -- 60,000

Assume that Inventive's tax rate for 2011 is 40 percent. What is the current portion of Inventive's total income tax expense for 2011?

A) $106,200

B) $120,200

C) $130,200

D) $144,200

Reference no: EM13149462

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