Prepare the journal entries to record income taxes

Assignment Help Accounting Basics
Reference no: EM131945774

Question - Dallas Company had financial and taxable incomes as follows:

2010 Pretax financial income of $150,000 and 2010 Taxable income of 115,000.

2011 Pretax financial income of $140,000 and 2011 Taxable income of 140,000.

2012 Pretax financial income of $135,000 and 2012 Taxable income of 170,000.

The tax rate for all three years was 20%.

REQUIRED:

a. Prepare the journal entries to record income taxes for all three years.

b. Explain why the taxes paid in 2012 are different from the tax return and the amount reported in the financial statements.

Reference no: EM131945774

Questions Cloud

Calculate the monetary value for both the jobs : Bill Mason is considering two job offers. Job 1 pays a salary of $41,900 with $4,875 of nontaxable employee benefits. Job 2 pays a salary of $40,000 and $6,530.
Combustion of the hydrocarbons : What is the balance equation for complete combustion of the following hydrocarbons: a) butane b) cyclohexane
Forecasted sales for year 6 using a 3-year moving average : Sales of Volkswagen's popular Beetle have grown steadily at auto dealerships in Nevada during the past 5 years .
What is the addition to retained earnings : Billy's Exterminators, Inc., has sales of $604.000, costs of $308,000, depreciation expense of $60,000, interest expense of$40,000, a tax rate of 35 percent.
Prepare the journal entries to record income taxes : Dallas 2012 Pretax financial income of $135,000 and 2012 Taxable income of 170,000. Prepare the journal entries to record income taxes for all three years
What is the project npv using a discount rate : What is the project's NPV using a discount rate of 8 percent? Should the project be accepted? Why or why not? What is the project's NPV using a discount rate.
What is janet and ray amt : In 2013, Deon and NeNe are married filing jointly. They have three dependent children under 18 years of age. What is Janet & Ray's AMT
How to increase revenue supported with a pro-forma : Write a short report directed to Ms. Tiffany Nadeau with your recommendation on how to increase revenue, supported with a pro-forma contribution income.
What extent do you agree or disagree with these statements : What extent do you agree or disagree with these statements? In your essay, be sure to refer to the Income tax Act 2007 and decided cases

Reviews

Write a Review

Accounting Basics Questions & Answers

  An extremely important concept in queueing models

An extremely important concept in queueing models is the difference between rates and times. If λ represents a rate (customers per hour, say), then argue why 1 is a time and vice versa.

  What is the value of the income interest received by kelley

Jacob placed into trust assets worth $1,000,000. Assume the applicable federal rate (AFR) is 4%. What is the value of the income interest received by Kelley

  Two products if and ri emerge from a joint process product

two products if and ri emerge from a joint process. product if has been allocated 25300 of the total joint costs of

  Discuss what amount will wilson report as the income

The income tax rate is 40%. What amount will Wilson report as the income or loss from discontinued operations

  Mach co operates three manufacturing departments as profit

mach co. operates three manufacturing departments as profit centers. the following information is available for its

  Prepare adjusting entries for each item listed above

Prepare adjusting entries for each item listed above. Explain how the conditions for revenue recognition are applied to transactions e and h

  Discuss the income statement and balance sheet

Construct a spreadsheet that includes the income statement and balance sheet

  What amount of loss can purple corporation recognize

Purple never used the land for any business purpose during the time it was owned by the corporation. What amount of loss can Purple Corporation recognize

  The krause corporation acquired 80 percent of the 100000

the krause corporation acquired 80 percent of the 100000 outstanding voting shares of leahy inc. for 7.00 per share on

  What is the contribution margin

What is the contribution margin, What volume, in terms of units, must the company sell to break even each day

  Compute the effect on income before income taxes during the

on january 1 2013 nelson company leases certain property to queens company at an annual rental of 60000 payable in

  What is meant by the term lobbying

(a) what is meant by the term "lobbying"? (b) who would be likely targets of coca cola Amatil's lobbying activities ? (c) why would adoption of international standards do heavily affect coca cola Amatil?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd