For its first year of operations, Tringali Corporation's reconciliation of pretax accounting income to taxable income is as follows: Pretax accounting income Permanent difference Temporary Taxable income difference-depreciation $370,000 (15,000) 355,000 (19,100) $335,900 Tringali's tax rate is 25%. Assume that no estimated taxes have been paid. What should Tringali report as income tax payable for its first year of operations?
For its first year of operations, Tringali Corporation's reconciliation of pretax accounting income to taxable income is as follows: Pretax accounting income Permanent difference Temporary Taxable income difference-depreciation $370,000 (15,000) 355,000 (19,100) $335,900 Tringali's tax rate is 25%. Assume that no estimated taxes have been paid. What should Tringali report as income tax payable for its first year of operations?
SWFT Essntl Tax Individ/Bus Entities 2020
23rd Edition
ISBN:9780357391266
Author:Nellen
Publisher:Nellen
Chapter3: Taxes On The Financial Statements
Section: Chapter Questions
Problem 4BCRQ
Related questions
Question
![For its first year of operations, Tringali Corporation's reconciliation of pretax accounting income to taxable income is as follows:
Pretax accounting income
Permanent difference
Temporary
Taxable income
difference-depreciation
$370,000
(15,000)
355,000
(19,100)
$335,900
Tringali's tax rate is 25%. Assume that no estimated taxes have been paid.
What should Tringali report as income tax payable for its first year of operations?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F79338ae7-95ae-4aeb-b3b3-7c1af94b0a9e%2F2e3a315d-68b0-43a6-95eb-f11f3ad224a0%2Fdzjnkl3_processed.png&w=3840&q=75)
Transcribed Image Text:For its first year of operations, Tringali Corporation's reconciliation of pretax accounting income to taxable income is as follows:
Pretax accounting income
Permanent difference
Temporary
Taxable income
difference-depreciation
$370,000
(15,000)
355,000
(19,100)
$335,900
Tringali's tax rate is 25%. Assume that no estimated taxes have been paid.
What should Tringali report as income tax payable for its first year of operations?
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Recommended textbooks for you
![Excel Applications for Accounting Principles](https://www.bartleby.com/isbn_cover_images/9781111581565/9781111581565_smallCoverImage.gif)
Excel Applications for Accounting Principles
Accounting
ISBN:
9781111581565
Author:
Gaylord N. Smith
Publisher:
Cengage Learning