This machine has a 5-year useful life, a residual value of P10,000, and is depreciated using the straight-line method for financial statement purposes. For tax purposes, depreciation expense was P25,000 for 20x1 and P20,000 for 20x2. Ross' 20x2 0,000. 5. On January 2, 20x1, Ross Co. purchas financial statement purposes. For tax purposes, depreciation expense was P25,000 for 20x1 and P20,000 for 20x2. Ross' 20 income, before income taxes and depreciation expense, was P100,000 and its tax rate was 30%. If Ross had made no estimated tax payments during 20x2, what amount of current income tax liability would Ross report in its December 31. 20x2, balance sheet? a. 26,400 b. 25,800 с. 24,000 d. 22,500 (AICPA)

This machine has a 5-year useful life, a residual value of P10,000, and is depreciated using the straight-line method for financial statement purposes. For tax purposes, depreciation expense was P25,000 for 20x1 and P20,000 for 20x2. Ross' 20x2 0,000. 5. On January 2, 20x1, Ross Co. purchas financial statement purposes. For tax purposes, depreciation expense was P25,000 for 20x1 and P20,000 for 20x2. Ross' 20 income, before income taxes and depreciation expense, was P100,000 and its tax rate was 30%. If Ross had made no estimated tax payments during 20x2, what amount of current income tax liability would Ross report in its December 31. 20x2, balance sheet? a. 26,400 b. 25,800 с. 24,000 d. 22,500 (AICPA)

SWFT Comprehensive Volume 2019

42nd Edition

ISBN:9780357233306

Author:Maloney

Publisher:Maloney

Chapter8: Depreciation, Cost Recovery, Amortization, And Depletion

Section: Chapter Questions

Problem 2BCRQ

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Similar questions

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