User Account

All Pages

What amount should be recognized as the tax benefit

Assignment Help Financial Accounting
Reference no: EM132764558

On December 31, Year 1, a publicly traded entity identified a tax position resulting in a $100,000 tax benefit that qualifies for measurement and should be recognized. The entity has considered the amounts and possible outcomes of the position being sustained upon examination as follows:

Possible estimated outcome | Individual probability of occurring | Cumulative probability of occurring
$100,000                                     20%                                                20%
30,000                                        35%                                               100%
10,000                                       45%                                                   100%
                                               100%

Problem 1: What amount should be recognized as the tax benefit as of December 31, year 1?

A. $0

B. $10,000

C. $30,000

D. $100,000

Reference no: EM132764558

Questions Cloud

Find how a deferred income tax liability of : There are no other temporary differences. Mill should report in its December 31, Year 11, balance sheet, a deferred income tax liability of
Compute the pmt for annual deposit : Complete the following analysis. Do not hard core the answers. Answer should be positive value.
When accounting for income taxes and temporary difference : When accounting for income taxes, a temporary difference occurs in which of the following scenarios? The accrual method of accounting is used
7006EHR Future of Work Assignment : 7006EHR Future of Work Assignment Help and Solution, Griffith University - Assessment Writing Service - identify a major challenge relating to the future
What amount should be recognized as the tax benefit : What amount should be recognized as the tax benefit as of December 31, year 1? On December 31, Year 1, a publicly traded entity identified
How should the corporation report the tax position : A publicly traded corporation reported a $10,000, How should the corporation report this tax position in the financial statements?
What amount should lion report as total deferred tax expense : Lion's current-year tax rate is 30%, What amount should Lion report as total deferred tax expense in its income statement for the year?
Which is the last step in preparing the operating budget : Which one of the following is the last step in preparing the operating budget? Budgeted income statement. /Budgeted balance sheet
Calculate the net present value of the project : An investor is considering investing in an hotel. The initial costs are £1.000.000. There are also outgoings of £5.000 per month payable in advance.

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

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