Problem 06-43 (LO 06-2) (Algo) Grand Corporation reported pretax book income of $654,000. Tax depreciation exceeded book depreciation by $436,000. In addition, the company received $327,000 of tax-exempt municipal bond interest. The company's prior-year tax return showed taxable income of $54,500. Compute the company's current income tax expense or benefit. Note: Leave no answer blank. Enter N/A or zero. Answer is complete but not entirely correct. Current income tax Deferred income tax N/A 0 expense S 22,890
Problem 06-43 (LO 06-2) (Algo) Grand Corporation reported pretax book income of $654,000. Tax depreciation exceeded book depreciation by $436,000. In addition, the company received $327,000 of tax-exempt municipal bond interest. The company's prior-year tax return showed taxable income of $54,500. Compute the company's current income tax expense or benefit. Note: Leave no answer blank. Enter N/A or zero. Answer is complete but not entirely correct. Current income tax Deferred income tax N/A 0 expense S 22,890
Chapter14: Taxes On The Financial Statements
Section: Chapter Questions
Problem 51P
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I've tried it positive and negative. Tax rate is 21%
Transcribed Image Text:Problem 06-43 (LO 06-2) (Algo)
Grand Corporation reported pretax book income of $654,000. Tax depreciation exceeded book depreciation by $436,000. In addition,
the company received $327,000 of tax-exempt municipal bond interest. The company's prior-year tax return showed taxable income of
$54,500. Compute the company's current income tax expense or benefit.
Note: Leave no answer blank. Enter N/A or zero.
Answer is complete but not entirely correct.
Current income tax
Deferred income tax
N/A
0
expense
S
22,890
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