User Account

All Pages

How much is life goes on financial income subject to tax

Assignment Help Accounting Basics
Reference no: EM132829246

Life Goes On Inc. had a pretax accounting income of P2,400,000 while the net income before charitable contribution is P2,560,000 during the year. Below are items seen on the records of Life Goes On Inc.:

  1. Gain from settlement of life insurance of officers and employees where the corporation is named the beneficiary, P50,000;
  2. Dividend revenue received from a Moon Corp., a domestic corporation, P78,000;
  3. Dividend revenue received from a Fire Co., a foreign corporation, P56,000;
  4. Interest on bank deposits, P4,500;
  5. Capital gain on sale of land, P138,000;
  6. Fines and penalties for violation of law, P90,000;
  7. Premiums on life insurance for officers and employees (the company is the beneficiary), P50,000;
  8. Impairment on Goodwill, P45,000; and
  9. Actual charitable contributions, P160,000.

Problem 1: If there are no temporary differences, how much is Life Goes On's financial income subject to tax during the year?

Reference no: EM132829246

Questions Cloud

What is the amount of K-Lashes Company stockholders Equity : The total assets of K-Lashes Company are $600,000 and its liabilities are equal to 2/3 of its total assets. What is the amount of K-Lashes Company stockholders
Describe the economic effects of the researched issues : Analyze the most significant economic effects of the researched issues on the health care industry. Provide at least two examples of these issues to support.
Identify the customer and problem : Describe a primary decision maker in your target segment: who are they? what they like? how they make buying decisions?
What is activity based product costing : What is activity based product costing? What are the six steps that define the design of an activity based costing system
How much is life goes on financial income subject to tax : Life Goes On Inc. had a pretax accounting. If there are no temporary differences, how much is Life Goes On's financial income subject to tax during the year?
Four measures of central tendency : They may yield different results for the same set of data. They each really serve the same purpose in different ways.
What is the initial cost of the right of use asset : What is the initial cost of the right of use asset? At the beginning of the current year, Thamoz Company leased an equipment from a lessor
Porter 5 forces or strategic groups : Using one of the major tools from the first four chapters of the book (Porter's 5 forces or Strategic Groups), please choose an industry and analyze it using on
Prepare a multiple-step income statement : The following items were derived from Gold Company's December 31 adjusted trial balance: Cost of goods sold $101,000. Prepare a multiple-step income statement

Reviews

Write a Review

Accounting Basics Questions & Answers

  Determine the pension asset liability at december

a projected benefit obligation of $560,200, plan assets of $342,100, and prior service cost of $136,700 in accumulated other comprehensive income

  Find the amount of interest expense

A company issued 6.0%, 5-year bonds with a par value of $250,000. Find the amount of interest expense for the second semiannual interest period

  How are dividends and dividends payable reported

On January 1, Guillen Corporation had 95,000 shares of no-par common stock issued and outstanding. The stock has a stated value of $5 per share.

  Advise the directors on how to treat the given item

Tyre requires customers to pay a deposit of 20% of the purchase price when placing an order for a vehicle. If the customer cancels the order.

  What liability does farah face as a result of the theft

What liability does Farah face as a result of the theft? Farah takes several calls from vendors asking for payment. He believed David had been paying the bills.

  Titania co sells 400000 of 12 bonds on june 1 2012 the

titania co. sells 400000 of 12 bonds on june 1 2012. the bonds pay interest on december 1 and june 1. the due date of

  Describing the amounts of current and deferred income taxes

Write a 350- to 700-word paper describing the amounts of current and deferred income taxes. Explain the items that affect both these classifications

  What is double-entry bookkeeping. give a brief example

What are the three major business activities in which accountants play a major role. Give an example of each. What is double-entry bookkeeping. Give a brief example.

  How much cash did fsb collect from customers

If FSB increased the income statement's depreciation expense by $50, would increase cash from operations by $50? how much cash did FSB collect from customers

  Treatment on the bank reconciliation

If a check correctly written and paid by the bank for $428 is incorrectly recorded on the company's books for $482, the appropriate treatment on the bank reconciliation would be to:

  Prepare the journal entries for geraths

The windows are delivered on September 1, 2014, Geraths completes installation on October 15, 2014, and the customer pays the balance due. Prepare the journal entries for Geraths in 2014.

  What would a business owner want to know about inventory

What would a business owner want to know about inventory changes from converting video rental inventory to resale inventory to assess

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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