Marc, inc., owns 70 percent of srs company. during the current year, srs reported net income of $515,000 but paid a total cash dividend of only $105,000. what deferred income tax liability must be recognized in the consolidated balance sheet? assume the tax rate is 40 percent.

The deferred income tax liability that must be recognized in the consolidated balance sheet is $186960.

Explanation:

undistributed income = SRS reported net income - paid dividends

                                    = $515,000 - $105,000

                                    = $410000

share of Marc, inc = 70%×$410000 = $287000

taxable income = undistributed income + share of Marc, inc -  non taxable portion

                          = $410000 + $287000 - 80%×287000

                          = $410000 + $287000 - $229600

                          = $467400

since the tax rate is 40%, the deferred income tax payable is

40%×$467400 = $186960

Therefore, the deferred income tax liability that must be recognized in the consolidated balance sheet is $186960.

ans.

heterothermic organisms include those organisms that can switch between homeothermic (having body temperature higher than environment) and poikilothermic (having variation in internal body temperature) strategies.

some migratory birds show heterothermy as they decrease their metabolic rate during cold nights to keep their body temperature low. drop in metabolic rate allows increase in production efficiency of birds that reduces the internal body temperature to make it equal to external cold temperature during cold nights.

thus, the correct answer is 'birds allow their temperature drop in order to increase their production efficiency.'