Problem on income tax expense

Assignment Help Accounting Basics
Reference no: EM13158398

Freda's Florist reported the following before-tax income statement items for the year ended December 31, 2009:

Operating Income $250,000
Extraordinary Gain 70,000

All income statement items are subject to a 40% income tax rate. In its 2009 income statement, Freda's separately stated income tax expense and total income tax expense would be:

A. $128,000 and $128,000, respectively.

B. $128,000 and $100,000, respectively.

C. $100,000 and $128,000, respectively.

D. $100,000 and $100,000, respectively.

Reference no: EM13158398

Questions Cloud

In what ways do you think their behavior would differ : In what ways do you think their behavior would differ from comparable doctors in a not-for-profit hospital in the US?
Discuss the nomenclature used for antibodies : Describe how the structure of an antibody relates to binding antigen (include a description of HV, FR, and Fab).
How long will it take to deposit 89 g of magnesium : How long will it take to deposit 89 g of magnesium from an electrolysis cell containing MgO at a current of 12.5. A magnesium formation is the only cathode reaction mg = 24glmol.
Compare contrast essay in civil engineering : I need help with writing a compare contrast essay in civil engineering , i dont know what topic to choose , i'm thinking of writing about steel vs concrete but i did not find any information about that topic,
Problem on income tax expense : All income statement items are subject to a 40% income tax rate. In its 2009 income statement, Freda's separately stated income tax expense and total income tax expense would be:
Pure colored substances mostly exhibit a single peak : Pure colored substances mostly exhibit a single peak (i.e. max) in the visible; therefore the simple rules of complementary colors apply. Mixtures are a little more complicated.
How many l of h2 gas (at stp) is produced : How many L of H2 gas (at STP) is produced from 470 mL of 0.36 M HCl and excess Zn? The reaction is: Zn + 2HCl = ZnCl2 + H2
Critical components of the civil rights movement : List what you consider to be the three most critical components of the civil rights movement in the United States. You may choose from Supreme Court Decisions, organizations, events, legislation, leaders, or cultural phenomena. Explain why you hav..
Discuss the biodiversity in the temperate forest biome : discuss the biodiversity in the temperate forest biome and discuss what factors make the biodiversity different from other biomes.

Reviews

Write a Review

 

Accounting Basics Questions & Answers

  The earnings per share

During 20x8, Voss declared and paid dividends of $80,000 on its common stock. Net income for 20x8 amounted to $500,000. The earnings per share (rounded to the nearest cent) for 20x8 are

  Contemplating an advertising campaign

Disney's variable costs are 30% of sales. The company is contemplating an advertising campaign that will cost $22,000. If sales are expected to increase $40,000, by how much will the company's net income increase?

  How transaction affect the accounting equation

Gomez Service Company paid their first installment on their Notes Payable in the amount of $2,000. How will this transaction affect the accounting equation?)

  Available-for-sale debt securities

Assuming Marten Co. has a portfolio of Available-for-Sale Debt Securities, what should Marten Co. report as a gain or loss on the bonds?

  Is this an ethical violation for the cfo

The CFO for a corporation deliberately misstates expenses on the income statement purely out of a sense of loyalty to his CEO and the company. The CFO will receive no financial incentive for this misstatement. In fact, he risks losing his job by d..

  Cost of inventory acquired from estate

Terms of the purchase were FOB shipping point, and the cost of transporting the goods to Rivers Associates' warehouse was $1,800. Rivers Associates insured the shipment at a cost of $300. Prior to putting the goods up for sale, they cleaned and re..

  Account balance at the end of the tenth year

At the end of the sixth year, the account balance was transferred to a bank paying 10%, and annual deposits of $6,000 were made at the end of each year from the seventh through the tenth years. What was the account balance at the end of the tenth ..

  Ethical issues when employees are tempted to defraud

Discuss in general the ethical issues when employees are tempted to defraud their employer or when companies defraud the public.

  Weighted-average method in the process of costing system

The Richmond Company uses the weighted-average method in its process costing system. The company has only a single processing department.

  Describe two specific forms of unacceptable advertising

CPAs are allowed to advertise under the Rules of the AICPA Code of Professional Conduct.

  Calculation of deferred tax amount

Gammell, Inc. reported net income of $40,000 for 2009. The income tax return excluded a revenue item of $3,000 (reported on the income statement) because under the tax laws the $3,000 would not be reported for tax purposes until 2010. Assuming a 3..

  Consolidations and business combination promulgations

Analyze how consolidations and business combination promulgations affect off-balance sheet manipulations. Include research on the development of consolidations and business combination promulgations.

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