Grand Corporation reported pretax book income of $621,000. Tax depreciation exceeded book depreciation by $414,000. In addition, the company received $310,500 of tax-exempt municipal bond interest. The company's prior-year tax return showed taxable income of $51,750. Compute the company's current income tax expense or benefit. (Leave no answer blank. Enter N/A or zero.) Current tax income N/A O Deferred Income tax benefit- TAX RATE IS 21%

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Grand Corporation reported pretax book income of $621,000. Tax depreciation exceeded book depreciation
by $414,000. In addition, the company received $310,500 of tax-exempt municipal bond interest. The
company's prior-year tax return showed taxable income of $51,750. Compute the company's current income
tax expense or benefit. (Leave no answer blank. Enter N/A or zero.)
Current tax income N/A O
Deferred Income tax benefit-
TAX RATE IS 21%
Transcribed Image Text:Grand Corporation reported pretax book income of $621,000. Tax depreciation exceeded book depreciation by $414,000. In addition, the company received $310,500 of tax-exempt municipal bond interest. The company's prior-year tax return showed taxable income of $51,750. Compute the company's current income tax expense or benefit. (Leave no answer blank. Enter N/A or zero.) Current tax income N/A O Deferred Income tax benefit- TAX RATE IS 21%
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