Woodward Corporation reported pretax book income of $1,335,000. Included in the computation were favorable temporary differences of $355,000, unfavorable temporary differences of $98,250, and favorable permanent differences of $158,000. Compute the company's current income tax expense or benefit. (Round your final answers to nearest whole dollar amount. Amounts to be deducted should be indicated by a minus sign.) Answer is complete but not entirely correct. Pretax book income $ 1,335,000 Favorable temporary differences (355,000) Unfavorable temporary differences 98,250 Favorable permanent differences (158,000) Taxable income Tax rate 920,250 24 X % Current income tax expense 220,860
Woodward Corporation reported pretax book income of $1,335,000. Included in the computation were favorable temporary differences of $355,000, unfavorable temporary differences of $98,250, and favorable permanent differences of $158,000. Compute the company's current income tax expense or benefit. (Round your final answers to nearest whole dollar amount. Amounts to be deducted should be indicated by a minus sign.) Answer is complete but not entirely correct. Pretax book income $ 1,335,000 Favorable temporary differences (355,000) Unfavorable temporary differences 98,250 Favorable permanent differences (158,000) Taxable income Tax rate 920,250 24 X % Current income tax expense 220,860
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Woodward Corporation reported pretax book income of $1,335,000. Included in the computation were favorable temporary differences of $355,000, unfavorable temporary differences of $98,250, and favorable permanent differences of $158,000. Compute the company’s current income tax expense or benefit.
In picture- what is the tax rate and current income tax expense?
Transcribed Image Text:Woodward Corporation reported pretax book income of
$1,335,000. Included in the computation were favorable temporary
differences of $355,000, unfavorable temporary differences of $98,250,
and favorable permanent differences of $158,000. Compute the
company's current income tax expense or benefit. (Round your final
answers to nearest whole dollar amount. Amounts to be deducted
should be indicated by a minus sign.)
Answer is complete but not entirely correct.
Pretax book income
$ 1,335,000
Favorable temporary differences
(355,000)
Unfavorable temporary differences
98,250
Favorable permanent differences
(158,000)
Taxable income
Tax rate
920,250
24 X %
Current income tax expense
220,860
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