Business, 26.10.2021 02:00 gpinney1883
Case Development began operations in December 2021. When property is sold on an installment basis, Case recognizes installment income for financial reporting purposes in the year of the sale. For tax purposes, installment income is reported by the installment method. 2021 installment income was $852,000 and will be collected over the next three years. Scheduled collections and enacted tax rates for 2022–2024 are as follows:
2022 $280,000 20%
2023 316,000 25
2024 256,000 25
Case also had product warranty costs of $318,000 expensed for financial reporting purposes in 2021. For tax purposes, only the $76,000 of warranty costs actually paid in 2021 was deducted. The remaining $242,000 will be deducted for tax purposes when paid over the next three years as follows:
2022 $90,000
2023 80,000
2024 72,000
Pretax accounting income for 2021 was $994,000, which includes interest revenue of $24,000 from municipal bonds. The enacted tax rate for 2021 is 20%.
Required:
a. Assuming no differences between accounting income and taxable income other than those described above, prepare the appropriate journal entry to record Case’s 2021 income taxes.
b. What is Case’s 2021 net income?
Answers: 1
Business, 22.06.2019 07:40
Xyz corporation has provided the following data concerning manufacturing overhead for july: actual manufacturing overhead incurred $ 69,000 manufacturing overhead applied to work in process $ 79,000 the company's cost of goods sold was $243,000 prior to closing out its manufacturing overhead account. the company closes out its manufacturing overhead account to cost of goods sold. which of the following statements is true? multiple choice manufacturing overhead was overapplied by $10,000; cost of goods sold after closing out the manufacturing overhead account is $253,000 manufacturing overhead was underapplied by $10,000; cost of goods sold after closing out the manufacturing overhead account is $233,000 manufacturing overhead was underapplied by $10,000; cost of goods sold after closing out the manufacturing overhead account is $253,000 manufacturing overhead was overapplied by $10,000; cost of goods sold after closing out the manufacturing overhead account is $233,000
Answers: 1
Business, 22.06.2019 11:00
Consider an economy where government expenditures are 10 and total tax revenues are 10. the supply of labor is fixed at 125 and the supply of capital is fixed at 8. the economy is described by the following equations. y k to the power of 1 divided by 3 end exponent l to the power of 2 divided by 3 end exponent c 2.5 + 0.75 ( y - t ) i 10 - 0.5 r the level of private savings is
Answers: 1
Business, 22.06.2019 17:30
Alinguist had a gross income of 53,350 last year. if 17.9% of his income got witheld for federal income tax, how much of the linguist's pay got witheld for federal income tax last year?
Answers: 2
Business, 22.06.2019 20:00
Which motion below could be made so that the chair would be called on to enforce a violated rule?
Answers: 2
Case Development began operations in December 2021. When property is sold on an installment basis, C...
History, 20.05.2020 08:57
English, 20.05.2020 08:57
Arts, 20.05.2020 08:57
Computers and Technology, 20.05.2020 08:57
Mathematics, 20.05.2020 08:57
Mathematics, 20.05.2020 08:57
Chemistry, 20.05.2020 08:57
Mathematics, 20.05.2020 08:57
English, 20.05.2020 08:57
Mathematics, 20.05.2020 08:57
Mathematics, 20.05.2020 08:57
Mathematics, 20.05.2020 08:57
Mathematics, 20.05.2020 08:57