4. For the year ended December 31, 20x1, Tyre Co. reported pretax financial statement income of P750,000. Its taxable income was P650,000. The difference is due to accelerated depreciation for income tax purposes. Tyre's effective income tax rate is 30%, and Tyre made estimated tax payments during 20x1 of P90,000. What amount should Tyre report as current tax expense for 20x1?
4. For the year ended December 31, 20x1, Tyre Co. reported pretax financial statement income of P750,000. Its taxable income was P650,000. The difference is due to accelerated depreciation for income tax purposes. Tyre's effective income tax rate is 30%, and Tyre made estimated tax payments during 20x1 of P90,000. What amount should Tyre report as current tax expense for 20x1?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text:4. For the year ended December 31, 20x1, Tyre Co. reported pretax financial statement income
of P750,000. Its taxable income was P650,000. The difference is due to accelerated
depreciation for income tax purposes. Tyre's effective income tax rate is 30%, and Tyre made
estimated tax payments during 20x1 of P90,000.
What amount should Tyre report as current tax expense for 20x1?
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