In 2019, Mini reports $1,503,600 of pretax book net income. Mini did not deduct any bad debt expense for book purposes in 2019 but did deduct $132,900 in bad debt expense for tax purposes. Mini reports no other temporary or permanent differences. Assuming that the pertinent U.S. Federal corporate income tax rate is 21%, and Mini earns an after-tax rate of return on capital of 8%. For 2019, compute Mini's total income tax expense, current income tax expense, and deferred income tax expense. If required, round your answers to nearest dollar. a. Current income tax expense ____ b. Deferred income tax benefit ____ c. Total income tax expense ____
In 2019, Mini reports $1,503,600 of pretax book net income. Mini did not deduct any bad debt expense for book purposes in 2019 but did deduct $132,900 in bad debt expense for tax purposes. Mini reports no other temporary or permanent differences. Assuming that the pertinent U.S. Federal corporate income tax rate is 21%, and Mini earns an after-tax rate of return on capital of 8%. For 2019, compute Mini's total income tax expense, current income tax expense, and deferred income tax expense. If required, round your answers to nearest dollar. a. Current income tax expense ____ b. Deferred income tax benefit ____ c. Total income tax expense ____
Chapter14: Taxes On The Financial Statements
Section: Chapter Questions
Problem 20CE
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Question
In 2019, Mini reports $1,503,600 of pretax book net income. Mini did not deduct any
For 2019, compute Mini's total income tax expense, current income tax expense, and
If required, round your answers to nearest dollar.
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ISBN:
9780357109731
Author:
Hoffman
Publisher:
CENGAGE LEARNING - CONSIGNMENT