Reference no: EM132579440
Question - Information for Kent Corp. for the year 2018:
Reconciliation of pretax accounting income and taxable income:
Pretax accounting income $170,000
Permanent differences (15,800) 154,200
Temporary difference-depreciation (12,600)
Taxable income $141,600
Cumulative future taxable amounts all from depreciation temporary differences:
As of December 31, 2017 $12,100
As of December 31, 2018 $24,700
The enacted tax rate was 39% for 2017 and thereafter.
What would Kent's income tax expense be in the year 2018?
a. $60,138.
b. $55,224.
c. $61,138.
d. None of these answer choices are correct.