when multiplying companys tax rate with any firms accounting income , the result is always different with income tax expense . why ??
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when multiplying companys tax rate with any firms accounting income , the result is always different with income tax expense . why ??
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- The measurement of earnings concept that consists of a companys profit from operations after taxed are subtracted is ________. A. ROI B. EPS C. EBITDA D. NOPATWhy company tax rate is always different from company accounting income?Is the tax expense of a firm in its financial statements same as the company tax rate times of a firm’s accounting income? if not highlight the reasons for differences.
- iv Why there is a difference among the company tax rate times with the firm’s accounting income? highlighting the reasons for differences.Why is the income tax payable not the same as income tax expense? Why is the income tax expense shown in the income statement same as the income tax paid shown in the cash flow statement? Briefly explain the concepts of temporary difference and permanent difference. Identify any permanent differences that company may have. What do you find interesting, confusing, surprising or difficult to understand about the treatment of taxin your firm’s financial statements? What new insights, if any, have you gained about how companiesaccount for income tax as a result of examining your firm’s tax expense in its accounts?How important is valuing inventory for financial statement purposes to a company’s bottom line (net income). Which method gives a company the best tax advantages? When would a company prefer to show more net income vs. tax savings?
- When financial income is higher than taxable income and no permanent differences, the company most probably will: Group of answer choices report a higher income tax expense. report a lower income tax expense. report an income tax benefit. report a deferred tax asset.evaluate the impact of tax rate changes on a company’s fi nancial statements and ratios;Where can I find the net profit after tax of a company? I am looking at a balance sheet and I do not see it. I am trying to calculate the ROA of Carnival (CCL)
- Income tax expense reported on a company’s income statement equals taxes payable, plusthe net increase in:A . deferred tax assets and deferred tax liabilities.B . deferred tax assets, less the net increase in deferred tax liabilities.C . deferred tax liabilities, less the net increase in deferred tax assets.What do you find interesting, confusing, surprising or difficult to understand about the treatment of tax in your firm’s financial statements? What new insights, if any, have you gained about how companies account for income tax as a result of examining your firm’s tax expense in its accounts?If a firm’s common-size income statement shows that the earnings after tax percentage is too low, the firm may have spent too much money on ____. a. total assets as a percentage of long-term liabilities b. cost of sales as a percentage of net sales c. taxes paid as a percentage of stockholders’ equity d. expenses as a percentage of current assets