Scott Corp. received cash of P20,000 that was included in revenues in its 20x4 financial statements , of which P12,000 will not be taxable until 20x5. Scott’s enacted tax rate is 30% for 20x4, and 25% for 20x5. What amount should Scott report in its 20x4 balance sheet for deferred income tax liability?
Scott Corp. received cash of P20,000 that was included in revenues in its 20x4 financial statements , of which P12,000 will not be taxable until 20x5. Scott’s enacted tax rate is 30% for 20x4, and 25% for 20x5. What amount should Scott report in its 20x4 balance sheet for deferred income tax liability?
Chapter17: Corporations: Introduction And Operating Rules
Section: Chapter Questions
Problem 16DQ
Related questions
Question
6. Scott Corp. received cash of P20,000 that was included in revenues in its 20x4 financial statements , of which P12,000 will not be taxable until 20x5. Scott’s enacted tax rate is 30% for 20x4, and 25% for 20x5.
What amount should Scott report in its 20x4 balance sheet for
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you