For the current year, LNS corporation reported the following taxable income at the end of its first, second, and third quarters Cumulative Taxable Income $ 1,700,000 2,636,000 3,681,000 Quarter-End First Second Third What are LNS's minimum first-, second-, third-, and fourth-quarter estimated tax payments, using the annualized income method? Note: Enter all amounts as positive values. Leave no answer blank. Enter zero if applicable. Round "Annualization Factor" for Fourth quarter to 7 places. Round other intermediate computations and final answers to the nearest whole dollar amount. Installment First quarter Second quarter Third quarter Fourth quarter Taxable Income $ 1,700,000 $ 1,700,000 > > > > $ 2,636,000 $ 3,681,000 Annualization Factor Annual Estimated Taxable Income 4 $ 4 $ 6,800,000 6,800,000 2 $ 5,272,000 1.3333333✔✔S 4,908,000 Answer is not complete. Tax on estimated taxable income $ 6,800,000 X $ 6,800,000 X $ 5,272,000 X $ 4,895,730 X Percentage of Tax Required To Be Paid 25 % 50 % 75 % 100 % Required Cumulative Payment Prior Cumulative Payments $ 1,700,000 $ 0 $ 3,400,000 $ 1,700,000 $ 3,954,000 $ 3,954,000 $ 4,895,7304,895,730 Required Estimated Tax Payment $1,700,000 X $1,700,000 x

For the current year, LNS corporation reported the following taxable income at the end of its first, second, and third quarters Cumulative Taxable Income $ 1,700,000 2,636,000 3,681,000 Quarter-End First Second Third What are LNS's minimum first-, second-, third-, and fourth-quarter estimated tax payments, using the annualized income method? Note: Enter all amounts as positive values. Leave no answer blank. Enter zero if applicable. Round "Annualization Factor" for Fourth quarter to 7 places. Round other intermediate computations and final answers to the nearest whole dollar amount. Installment First quarter Second quarter Third quarter Fourth quarter Taxable Income $ 1,700,000 $ 1,700,000 > > > > $ 2,636,000 $ 3,681,000 Annualization Factor Annual Estimated Taxable Income 4 $ 4 $ 6,800,000 6,800,000 2 $ 5,272,000 1.3333333✔✔S 4,908,000 Answer is not complete. Tax on estimated taxable income $ 6,800,000 X $ 6,800,000 X $ 5,272,000 X $ 4,895,730 X Percentage of Tax Required To Be Paid 25 % 50 % 75 % 100 % Required Cumulative Payment Prior Cumulative Payments $ 1,700,000 $ 0 $ 3,400,000 $ 1,700,000 $ 3,954,000 $ 3,954,000 $ 4,895,7304,895,730 Required Estimated Tax Payment $1,700,000 X $1,700,000 x

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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For the year ended December 31, 2019, Nelson Co.’s income statement showed income of $425,000 before income tax expense. To compute taxable income, the following differences were noted: Income from tax-exempt municipal bonds $60,000 Depreciation deducted for tax purposes in excess of depreciation recorded on the books 130,000 Proceeds received from life insurance on death of an insured employee 100,000 Corporate tax rate for 2019 30% Enacted tax rate for future periods 35% Required: 1. Calculate taxable income and tax payable for tax purposes. 2. Prepare Nelson’s income tax journal entry at the end of 2019.
Bluth, Inc. reported the following financial information: Taxable income for current year $200,000 Deferred tax liability, beginning of year 46,000 Deferred tax liability, end of year 57,000 Deferred tax asset, beginning of year 12,000 Deferred tax asset, end of year 18,000 Current and future years' tax rate 21% The current year's income tax expense is what amount?
Sunland Corporation began operations in 2020 and reported pretax financial income of $212,000 for the year. Sunland’s tax depreciation exceeded its book depreciation by $33,000. Sunland’s tax rate for 2020 and years thereafter is 30%. Assume this is the only difference between Sunland’s pretax financial income and taxable income.Prepare the journal entry to record the income tax expense, deferred income taxes, and income taxes payable. Show how the deferred tax liability will be classified on the December 31, 2020, balance sheet. Deferred tax liability should be classified as a a) current asset b) current liability c) non current asset or d) non current liability on the December 31, 2020, balance sheet.
Company K operates in a jurisdiction that levies an income tax with the following rate structure: Percentage Rate Bracket Income from -0- to $75,000 Income from $75,001 to $150,000 Income in excess of $150,000 Company K incurs a $35,000 deductible expense. Required: a. Compute the current year tax savings from the deduction assuming that Company K's taxable income before considering the additional deduction is $71,600. b. Compute the current year tax savings from the deduction assuming that Company K's taxable income before considering the additional deduction is $178,000. c. Compute the current year tax savings from the deduction assuming that Company K has a $7,250 loss before considering the additional deduction. 7% 10 15 Complete this question by entering your answers in the tabs below. Required A Required B Required C Compute the current year tax savings from the deduction assuming that Company K's taxable income before additional deduction is $71,600. Tax savings
Josh Company, a calendar-year corporation has the following income before income tax provison and estimated effective annual income tax rates for the first three quarters of year 1: Income before income tax provision Estimated effective annual rate at end of quarter Quarter First P600,000 40% Second 700,000 40% Third 400,000 45% 1. Josh income tax provision in its interim income statement for the third quarter should be?
Calculate the balance in the company’s deferred income tax liability account at the end of each year.
Required Answer each of the following questions by providing supporting computations. 1. Assume that the company’s income tax rate is 30% for all items. Identify the tax effects and after-tax amounts of the three items labeled pretax. 2. Compute the amount of income from continuing operations before income taxes. What is the amount of the income tax expense? What is the amount of income from continuing operations? 3. What is the total amount of after-tax income (loss) associated with the discontinued segment? 4. What is the amount of net income for the year?
Please answer it in good accounting form. Thankyou
IMPORTANT: PLEASE ANSWER CORRECTLY AND ILL LIKE THE QUESTION. Exercise 19-04 (Part Level Submission) Kingbird Company reports pretax financial income of $73,500 for 2020. The following items cause taxable income to be different than pretax financial income. 1. Depreciation on the tax return is greater than depreciation on the income statement by $17,600. 2. Rent collected on the tax return is greater than rent recognized on the income statement by $19,900. 3. Fines for pollution appear as an expense of $10,500 on the income statement. Kingbird’s tax rate is 30% for all years, and the company expects to report taxable income in all future years. There are no deferred taxes at the beginning of 2020.
For its first year of operations, Tringali Corporation's reconciliation of pretax accounting income to taxable income is as follows: Pretax accounting income $ 300,000 Permanent difference (15,000 ) 285,000 Temporary difference-depreciation (20,000 ) Taxable income $ 265,000 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?
6
Alvis Corporation reports pretax accounting income of $300,000, but due to a single temporary difference, taxable income is only $175,000. At the beginning of the year, no temporary differences existed.Required:1. Assuming a tax rate of 25%, what will be Alvis’s net income?2. What will Alvis report in the balance sheet pertaining to income taxes?