![subject](/tpl/images/cats/ekonomika.png)
Business, 06.05.2020 03:17 machapman6594
Times-Roman Publishing Company reports the following amounts in its first three years of operation:
($ in 000s) 2016 2017 2018
Pretax accounting income $250 $240 $230
Taxable income $290 $220 $260
The difference between pretax accounting income and taxable income is due to subscription revenue for one-year magazine subscriptions being reported for tax purposes in the year received, but reported in the income statement in later years when earned. The income tax rate is 40% each year. Times-Roman anticipates profitable operations in the future.
Required
1. What is the balance sheet account for which a temporary difference is created by this situation?
a. Earned subscription
b. Unearned subscription
2. For each year, indicate the cumulative amount of the temporary difference at year-end
3. Determine the balance in the related deferred tax account at the end of each year, Is it a deferred tax asset or a deferred tax liability?
4. How should the deferred tax amount be classified and reported in the balance sheet?
a. Noncurrent
b. Current
![ansver](/tpl/images/cats/User.png)
Answers: 2
![](/tpl/images/ask_question.png)
![](/tpl/images/ask_question_mob.png)
Another question on Business
![question](/tpl/images/cats/ekonomika.png)
Business, 22.06.2019 10:00
Frolic corporation has budgeted sales and production over the next quarter as follows. the company has 4100 units of product on hand at july 1. 10% of the next months sales in units should be on hand at the end of each month. october sales are expected to be 72000 units. budgeted sales for september would be: july august september sales in units 41,500 53,500 ? production in units 45,700 53,800 58,150
Answers: 3
![question](/tpl/images/cats/ekonomika.png)
Business, 22.06.2019 10:30
Zapper has beginning equity of $257,000, net income of $51,000, dividends of $40,000 and investments by stockholders of $6,000. its ending equity is
Answers: 2
![question](/tpl/images/cats/ekonomika.png)
Business, 22.06.2019 10:30
What type of budget is stated? a budget is a type of financial report that scrutinizes the inflow and outflow of money in a given financial year.
Answers: 1
![question](/tpl/images/cats/ekonomika.png)
Business, 22.06.2019 21:30
The adjusted trial balance for china tea company at december 31, 2018, is presented below:
Answers: 1
You know the right answer?
Times-Roman Publishing Company reports the following amounts in its first three years of operation:<...
Questions
![question](/tpl/images/cats/ekonomika.png)
![question](/tpl/images/cats/mat.png)
Mathematics, 27.02.2021 09:40
![question](/tpl/images/cats/en.png)
![question](/tpl/images/cats/mat.png)
![question](/tpl/images/cats/obshestvoznanie.png)
Social Studies, 27.02.2021 09:40
![question](/tpl/images/cats/istoriya.png)
![question](/tpl/images/cats/istoriya.png)
![question](/tpl/images/cats/mat.png)
Mathematics, 27.02.2021 09:50
![question](/tpl/images/cats/en.png)
![question](/tpl/images/cats/mat.png)
![question](/tpl/images/cats/mat.png)
![question](/tpl/images/cats/mat.png)
![question](/tpl/images/cats/fizika.png)
![question](/tpl/images/cats/mat.png)
Mathematics, 27.02.2021 09:50
![question](/tpl/images/cats/mat.png)
![question](/tpl/images/cats/health.png)
Health, 27.02.2021 09:50
![question](/tpl/images/cats/mat.png)
Mathematics, 27.02.2021 09:50
![question](/tpl/images/cats/fizika.png)
![question](/tpl/images/cats/ekonomika.png)