Willobee Co. reported book income of $21,399,000 for 2023. This number included $1,284,000 of income from exempt municipal bonds. For tax purposes, the company reported $4,622,000 less in depreciation than that reported for GAAP purposes. The company also made tax payments of $3,210,000 during the year. If Willobee Co.'s 2023 tax rate was 30%, what will they report as deferred taxes on their 2023 balance sheet? ( 3) O $1,386,600 deferred tax liability O $1,771,800 deferred tax liability $1,771,800 deferred tax asset O $1,386,600 deferred tax asset
Willobee Co. reported book income of $21,399,000 for 2023. This number included $1,284,000 of income from exempt municipal bonds. For tax purposes, the company reported $4,622,000 less in depreciation than that reported for GAAP purposes. The company also made tax payments of $3,210,000 during the year. If Willobee Co.'s 2023 tax rate was 30%, what will they report as deferred taxes on their 2023 balance sheet? ( 3) O $1,386,600 deferred tax liability O $1,771,800 deferred tax liability $1,771,800 deferred tax asset O $1,386,600 deferred tax asset
Chapter17: Corporations: Introduction And Operating Rules
Section: Chapter Questions
Problem 47P
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![100
Willobee Co. reported book income of $21,399,000 for 2023. This number included $1,284,000
of income from exempt municipal bonds. For tax purposes, the company reported $4,622,000 less in
depreciation than that reported for GAAP purposes. The company also made tax payments of $3,210,000
during the year. If Willobee Co.'s 2023 tax rate was 30%, what will they report as deferred taxes on their
2023 balance sheet? ( 3)
$1,386,600 deferred tax liability
$1,771,800 deferred tax liability
O $1,771,800 deferred tax asset
$1,386,600 deferred tax asset](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fd04645ef-6cf6-4d1b-a92f-7bdee3700327%2Fcd251ec0-7eb1-4c05-a2eb-c0266d735b51%2Ffupotk_processed.jpeg&w=3840&q=75)
Transcribed Image Text:100
Willobee Co. reported book income of $21,399,000 for 2023. This number included $1,284,000
of income from exempt municipal bonds. For tax purposes, the company reported $4,622,000 less in
depreciation than that reported for GAAP purposes. The company also made tax payments of $3,210,000
during the year. If Willobee Co.'s 2023 tax rate was 30%, what will they report as deferred taxes on their
2023 balance sheet? ( 3)
$1,386,600 deferred tax liability
$1,771,800 deferred tax liability
O $1,771,800 deferred tax asset
$1,386,600 deferred tax asset
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