Deferred Tax Liability: Depreciation Gire Company began operations at the beginning of 2019 at which time it purchased a depreciable asset for $60, 000. For 2019 through 2022, the asset was depreciated on the straight-line basis over a 4-year life (no residual value) for financial reporting. For income tax purposes, the asset was depreciated using MACRS (200%, 3-year life).
For 2019 through 2022, Gire reported pretax financial income and taxable income of the following amounts (the differences are due solely to the depreciation temporary differences):
Over the entire 4-year period, Gire was subject to an income tax of 30%, and no change in the tax rate had been enacted for future years.
Required:
Accounting Information Systems
Financial & Managerial Accounting
Financial And Managerial Accounting
College Accounting, Chapters 1-27
Managerial Accounting: The Cornerstone of Business Decision-Making
Financial Accounting
Corporate Financial Accounting
Fundamentals of Financial Management, Concise Edition (MindTap Course List)
Principles of Economics (MindTap Course List)
Brief Principles of Macroeconomics (MindTap Course List)
Essentials of Economics (MindTap Course List)
STATISTICS F/BUSINESS+ECONOMICS-TEXT
Accounting Information Systems
Contemporary Marketing
ECON: MICRO4 (New, Engaging Titles from 4LTR Press)
Essentials of Business Communication (MindTap Course List)
Principles of Macroeconomics (MindTap Course List)
MKTG 12:STUDENT ED.-TEXT
Foundations of Business (MindTap Course List)
Management, Loose-Leaf Version
Fundamentals of Financial Management (MindTap Course List)
Principles of Microeconomics (MindTap Course List)
College Accounting (Book Only): A Career Approach
Accounting (Text Only)
Financial & Managerial Accounting
Financial Accounting
Fundamentals of Financial Management, Concise Edition (with Thomson ONE - Business School Edition, 1 term (6 months) Printed Access Card) (MindTap Course List)
Statistics for Business & Economics, Revised (MindTap Course List)
Exploring Economics
College Accounting (Book Only): A Career Approach
College Accounting, Chapters 1-27 (New in Accounting from Heintz and Parry)
Principles of Macroeconomics (MindTap Course List)
Fundamentals of Financial Management (MindTap Course List)
Pkg Acc Infor Systems MS VISIO CD
Corporate Financial Accounting
PAYROLL ACCT.,2019 ED.(LL)-TEXT
Survey of Accounting (Accounting I)
Cornerstones of Cost Management (Cornerstones Series)
Microeconomics
Economics For Today
Practical Management Science
Economics (MindTap Course List)
Purchasing and Supply Chain Management
Macroeconomics
Cornerstones of Financial Accounting
Managerial Accounting
Understanding Management (MindTap Course List)
Economics: Private and Public Choice (MindTap Course List)
MACROECONOMICS FOR TODAY
Macroeconomics: Private and Public Choice (MindTap Course List)
Principles of Microeconomics
Microeconomics: Private and Public Choice (MindTap Course List)