Oriole Company deducts insurance expense of $183000 for tax purposes in 2021, but the expense is not yet recognized for accounting purposes. In 2022, 2023, and 2024, no insurance expense will be deducted for tax purposes, but $61000 of insurance expense will be reported for accounting purposes in each of these years. Oriole Company has a tax rate of 20% and income taxes payable of $162000 at the end of 2021. There were no deferred taxes at the beginning of 2021. What is the amount of the deferred tax liability at the end of 2021? $32400 $0 $10500 $36600
Oriole Company deducts insurance expense of $183000 for tax purposes in 2021, but the expense is not yet recognized for accounting purposes. In 2022, 2023, and 2024, no insurance expense will be deducted for tax purposes, but $61000 of insurance expense will be reported for accounting purposes in each of these years. Oriole Company has a tax rate of 20% and income taxes payable of $162000 at the end of 2021. There were no deferred taxes at the beginning of 2021. What is the amount of the deferred tax liability at the end of 2021? $32400 $0 $10500 $36600
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter18: Accounting For Income Taxes
Section: Chapter Questions
Problem 4MC: Prior to and during 2019, Shadrach Company reported tax depreciation at an amount higher than the...
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Oriole Company deducts insurance expense of $183000 for tax purposes in 2021, but the expense is not yet recognized for accounting purposes. In 2022, 2023, and 2024, no insurance expense will be deducted for tax purposes, but $61000 of insurance expense will be reported for accounting purposes in each of these years. Oriole Company has a tax rate of 20% and income taxes payable of $162000 at the end of 2021. There were no
What is the amount of the
|
$32400 |
|
$0 |
|
$10500 |
|
$36600 |
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