Business, 06.05.2020 07:21 tati7149

A reconciliation of pretax financial statement income to taxable income is shown below for Shaw-Anderson Industries for the year ended December 31, 2018, its first year of operations. The company offers quality-assurance warranties that extend six months after goods are purchased. The income tax rate is 40%.

Pretax accounting income (income statement) $ 640,000
Interest revenue on municipal securities (20,000 )
Warranty expense in excess of deductible amount 45,000
Depreciation in excess of financial statement amount (120,000 )
Taxable income (tax return) $ 545,000

What amount should Shaw-Anderson report as the current portion of income tax expense on its 2018 income statement?

a.$52,000
b.$218,000
c.$248,000
d.$256,000

Answers: 1

Show answers

Other questions on the subject: Business

Business, 22.06.2019 12:50, montgomerykarloxc24x

You own 2,200 shares of deltona hardware. the company has stated that it plans on issuing a dividend of $0.42 a share at the end of this year and then issuing a final liquidating dividend of $2.90 a share at the end of next year. your required rate of return on this security is 16 percent. ignoring taxes, what is the value of one share of this stock to you today?

Answers: 1

continue

Business, 22.06.2019 16:40, jojo171717

Based on what you learned about time management which of these statements are true

Answers: 1

continue

Business, 22.06.2019 19:20, Tariah5970

Sanibel autos inc. merged with its competitor vroom autos inc. this allowed sanibel autos to use its technological competencies along with vroom autos' marketing capabilities to capture a larger market share than what the two entities individually held. what type of integration does this scenario best illustrate? a. vertical b. technological c. horizontal d. perfect

Answers: 2

continue

Business, 22.06.2019 21:00, nasrah

Dozier company produced and sold 1,000 units during its first month of operations. it reported the following costs and expenses for the month: direct materials $ 69,000 direct labor $ 35,000 variable manufacturing overhead $ 15,000 fixed manufacturing overhead 28,000 total manufacturing overhead $ 43,000 variable selling expense $ 12,000 fixed selling expense 18,000 total selling expense $ 30,000 variable administrative expense $ 4,000 fixed administrative expense 25,000 total administrative expense $ 29,000 required: 1. with respect to cost classifications for preparing financial statements: a. what is the total product cost

Answers: 2

continue

You know the right answer?

A reconciliation of pretax financial statement income to taxable income is shown below for Shaw-Ande...