For the current year ($ in millions), Centipede Corp. had $152 in pretax accounting income. This included warranty expense of $6 and $16 in depreciation expense. 1 million of warranty costs were incurred, and depreciation deductions in the tax retum amounted to $39. In the absence of other temporary or permanent differences, what was Centipede's income tax payable currently, assuming a tax rate of 25%? Multiple Choice 301 Million 476 Million 33.5 Million
For the current year ($ in millions), Centipede Corp. had $152 in pretax accounting income. This included warranty expense of $6 and $16 in depreciation expense. 1 million of warranty costs were incurred, and depreciation deductions in the tax retum amounted to $39. In the absence of other temporary or permanent differences, what was Centipede's income tax payable currently, assuming a tax rate of 25%? Multiple Choice 301 Million 476 Million 33.5 Million
Chapter2: The Domestic And International Financial Marketplace
Section2.A: Taxes
Problem 3P
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![Multiple Choice
301 Million
For the current year ($ in millions), Centipede Corp. had $152 in pretax accounting income. This included warranty expense of $6 and $16 in depreciation
expense. 1 million of warranty costs were incurred, and depreciation deductions in the tax return amounted to $39. In the absence of other temporary or
permanent differences, what was Centipede's income tax payable currently, assuming a tax rate of 25%?
476 Million
33.5 Million
Saved
27.3 Million
Help
Save & Exit
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Transcribed Image Text:Multiple Choice
301 Million
For the current year ($ in millions), Centipede Corp. had $152 in pretax accounting income. This included warranty expense of $6 and $16 in depreciation
expense. 1 million of warranty costs were incurred, and depreciation deductions in the tax return amounted to $39. In the absence of other temporary or
permanent differences, what was Centipede's income tax payable currently, assuming a tax rate of 25%?
476 Million
33.5 Million
Saved
27.3 Million
Help
Save & Exit
Su
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