Information for Kent Corp. for the year 2016: Reconciliation of pretax accounting income and taxable income: Pretax accounting income Permanent differences $180,000 (15,000) 165,000 Temporary difference-depreciation (12,000) Taxable income $153,000 Cumulative future taxable amounts all from depreciation temporary differences: As of December 31, 2015 $13,000 As of December 31, 2016 $25,000 The enacted tax rate was 30% for 2015 and thereafter. What should Kent report as the current portion of its income tax expense in the year 2016? A) $45,900. B) $49,500. C) $54,000. D) None of these answer choices are correct.

Information for Kent Corp. for the year 2016: Reconciliation of pretax accounting income and taxable income: Pretax accounting income Permanent differences $180,000 (15,000) 165,000 Temporary difference-depreciation (12,000) Taxable income $153,000 Cumulative future taxable amounts all from depreciation temporary differences: As of December 31, 2015 $13,000 As of December 31, 2016 $25,000 The enacted tax rate was 30% for 2015 and thereafter. What should Kent report as the current portion of its income tax expense in the year 2016? A) $45,900. B) $49,500. C) $54,000. D) None of these answer choices are correct.

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 12E: Temporary and Permanent Differences Lin has just completed its first year of operations and has a...

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