A. J. Johnson & Co. recorded certain revenues on its books in 2011 and 2012 of $15,400
Question:
A. J. Johnson & Co. recorded certain revenues on its books in 2011 and 2012 of $15,400 and $16,600, respectively. However, such revenues were not subject to income taxation until 2013. The company records reveal pretax financial income and taxable income for the 3-year period as follows:
Assume that Johnson's tax rate is 40% for all periods.
Instructions:
Prepare the journal entries necessary at the end of each year to record incometaxes.
Transcribed Image Text:
Financial Income Taxable Income 2011. 2012 2013 $44,200 38,200 21.100 $28.800 21.600 53.100
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 53% (15 reviews)
2011 Income Tax Expense 17680 Income Taxes Payable 11520 Deferred Tax Liability x Noncurrent 6160 In...View the full answer
Answered By
Somshukla Chakraborty
I have a teaching experience of more than 4 years by now in diverse subjects like History,Geography,Political Science,Sociology,Business Enterprise,Economics,Environmental Management etc.I teach students from classes 9-12 and undergraduate students.I boards I handle are IB,IGCSE, state boards,ICSE, CBSE.I am passionate about teaching.Full satisfaction of the students is my main goal.
I have completed my graduation and master's in history from Jadavpur University Kolkata,India in 2012 and I have completed my B.Ed from the same University in 2013. I have taught in a reputed school of Kolkata (subjects-History,Geography,Civics,Political Science) from 2014-2016.I worked as a guest lecturer of history in a college of Kolkata for 2 years teaching students of 1st ,2nd and 3rd year. I taught Ancient and Modern Indian history there.I have taught in another school in Mohali,Punjab teaching students from classes 9-12.Presently I am working as an online tutor with concept tutors,Bangalore,India(Carve Niche Pvt.Ltd.) for the last 1year and also have been appointed as an online history tutor by Course Hero(California,U.S) and Vidyalai.com(Chennai,India).
4.00+
2+ Reviews
10+ Question Solved
Related Book For
Intermediate Accounting
ISBN: 978-0324592375
17th Edition
Authors: James D. Stice, Earl K. Stice, Fred Skousen
Question Posted:
Students also viewed these Accounting questions
-
Prepare the journal entries necessary to record Dao Companys following stock transactions during 2014: Oct. 1 Purchased 2,000 shares of its own $2 par value common stock for $20 per share, the...
-
Prepare the journal entries necessary to record the following transactions and economic events for Magnetawan Ltd. (Magnetawan): a. During 2018, Magnetawan had cash sales of $175,000 and credit sales...
-
Prepare all journal entries necessary to reflect the use of the percentage- of completion method in 2015 for CCC BE-8-18 In Be8-18 Contract price$85,000 2015 Actual construction costs incurred during...
-
On average, which group of borrowers would have to pay a higher effective rate for its short-term loans, those who are required to put up collateral or those who are not? Explain.
-
A certain market has both an express checkout line and a superexpress checkout line. Let X1 denote the number of customers in line at the express checkout at a particular time of day, and let X2...
-
The Wave master 4 0 0 0 T M wave machine creates harmonic water waves that propagate radially outward from the center of a cylindrical pool. Shown above are all the wave crests produced by this...
-
Suppose that in the preceding exercise the first measurement is recorded incorrectly as 16.0 instead of 14.5. Show that, even though the mean of the sample increases to \(\bar{x}=14.7\), the null...
-
The comparative balance sheet of Green Earth Lawn and Garden Inc. for December 31, 2008 and 2009, is as follows: The income statement for the year ended December 31, 2009, is as follows: The...
-
Quality Brick Company produces bricks in two processing departments-Molding and Firing. Information relating to the company's operations in March follows: a. Raw materials used in production: Molding...
-
Each of the following scenarios is independent. Assume that all cash flows are after- tax cash flows. a. Southward Manufacturing is considering the purchase of a new welding system. The cash benefits...
-
Victoria Clothing reported the following amounts related to income taxes on its 2011 income statement. Income tax benefit from NOL carryback . . . . . . . . . . . . . . . . . . . . . . . . . ....
-
Polytechnic Corporation reported taxable income of $2,340,000 for the year ended December 31, 2011. The controller is unfamiliar with the required treatment of temporary and permanent differences in...
-
a. What three types of VPN do IP sec support? 15a.) IP sec is used for ________ VPNs. a. Remote-access b. Site-to-site c. Both A and B d. Neither A nor B b. What nonhost device is a terminating point...
-
An average cost curve reports to be AC = 214 + 5X2 10X. At what level of output is average cost minimized?
-
Larry owns 90 of the 100 outstanding shares of EDP Corporation. Larry acquired the 90 shares in 2007 for \(\$ 15,000\). He also owns 70 of the 100 outstanding shares of EDT Corporation. Larry...
-
Explain using a graph how in the Keynesian model, keeping the price level fixed, an increase in private consumption influences aggregate expenditure and aggregate demand. Japans economy has witnessed...
-
Cathy Thomas, a single mother, has modified AGI of $82,000. In 2019, her daughter begins work on her bachelors degree at an accredited institution. Cathy pays $6,000 in qualified tuition for the...
-
Find the finance charges on a 7.5%, 18-month, single-payment loan when interest is computed using the simple interest method. Find the finance charges on the same loan when interest is computed using...
-
What do you understand by the term promotion? Bring out bases for promotion.
-
Portal Manufacturing has total fixed costs of $520,000. A unit of product sells for $15 and variable costs per unit are $11. a). Prepare a contribution margin income statement showing predicted net...
-
Why can the midlatitude climate zone be characterized as a huge playing field in which contrasting types of air compete for position. How does this game change over landmasses and the oceans?
-
Derrick Company establishes a stock-appreciation rights program that entitles its new president, Dan Scott, to receive cash for the difference between the market price of the stock and a...
-
The following two items appeared on the Internet concerning the GAAP requirement to expense stock options. WASHINGTON, D.C.February 17, 2005 Congressman David Dreier (RCA), Chairman of the House...
-
The following two items appeared on the Internet concerning the GAAP requirement to expense stock options. WASHINGTON, D.C.February 17, 2005 Congressman David Dreier (RCA), Chairman of the House...
-
The following situation is an example for a fire detection and suppression system in an office building. The Initiating Event (IE) for the Event Tree is "fire starts", with a frequency of once every...
-
A one cubic foot sample of a borrow-source clay weighed 88 lbs. If the specific gravity of solids was measured as 2.70, and the clay was found to be 10 percent saturated, determine the water content...
-
Evaluate the use of novel catalytic systems, such as structured catalysts, catalytic distillation, and multifunctional catalysts, in achieving process intensification, discussing the effects on...
Study smarter with the SolutionInn App