Reference no: EM132908006
Question - At the beginning of 2016, Norris Company had a deferred tax liability of $6,600, because of the use of MACRS depreciation for income tax purposes and units-of-production depreciation for financial reporting. The income tax rate is 30% for 2015 and 2016, but in 2015 Congress enacted a 39% tax rate for 2017 and future years.
Norris's accounting records show the following pretax items of financial income for 2016: income from continuing operations, $120,000 (revenues of $353,200 and expenses of $233,200); gain on disposal of Division F, $21,100; loss from operations of discontinued Division F, $10,800; and prior period adjustment, $16,900, due to an error that understated revenue in 2015. All of these items are taxable; however, financial depreciation for 2016 on assets related to continuing operations exceeds tax depreciation by $4,400. Norris had a retained earnings balance of $159,100 on January 1, 2016, and declared and paid cash dividends of $32,400 during 2016.
Required -
1. Prepare Norris's income tax journal entry at the end of 2016.
2. Prepare Norris's 2016 income statement.
3. Prepare Norris's 2016 statement of retained earnings.
4. Show the related income tax disclosures on Norris's December 31, 2016, balance sheet.
|
Create a table analyze the transactions
: Create a table in Excel, analyze the following transactions and indicate the account that increases and the account that decreases
|
|
Prepare schedule for interest expense and bond amortization
: On January 1st, 2017, Fruit Chews Company sold 5%, Prepare the schedule for interest expense and bond amortization for the 20-year life of the bond
|
|
What should have been the exchange rate in january
: What should have been the exchange rate in January 2003 if PPP? held? The Argentine peso was fixed through a currency board at Ps1.00?/$ throughout the 1990s.
|
|
Is agent worthy attack surface
: If attacker can retrieve API and libraries, then use these to write an agent, and then get the attacker's agent installed, how should Digital Diskus protect
|
|
Prepare Norris income tax journal entry at the end
: At the beginning of 2016, Norris Company had a deferred tax liability of $6,600, Prepare Norris's income tax journal entry at the end of 2016
|
|
Journalize the three separate transactions
: After the fact, 5 were returned. Then, the remaining amount was paid within the discount period. Journalize the 3 separate transactions.
|
|
What is the market price of dollar thousand face value bond
: Krusty Krab, Inc. offers a 7 percent coupon bond with semiannual payments and a yield to maturity of 7.73. What is the market price of a $1,000 face value bond?
|
|
Examine IT infrastructure policies
: Describe IT infrastructure policies based on the scenario given.
|
|
Name three different polygons that are used in traffic signs
: Polygons are used as visual cues for the type of information they represent. Name three different polygons that are used in traffic signs
|