Question: Chua Corporation has a taxable temporary difference related to depreciation
Chua Corporation has a taxable temporary difference related to depreciation of $715,000 at December 31, 2011. This difference will reverse as follows: 2012, $53,000; 2013, $310,000; and 2014, $352,000. Enacted tax rates are 37% for 2012 and 2013, and 43% for 2014. Calculate the amount that Chua should report as a future tax asset or liability at December 31, 2011.
Answer to relevant QuestionsAyesha Corporation had the following tax information: In 2011, Ayesha suffered a net operating loss of $550,000, which it decided to carry back. The 2011 enacted tax rate is 29%. Prepare Ayesha's entry to record the effect ...In 2011, Dustin Limited purchased shares of Gurvir Corp. at a cost of $45,000. This was the first time the company had ever acquired an investment to be accounted for at fair value through other comprehensive income ...At December 31, 2011, Naifa Inc. owned equipment that had a book value of $145,000 and a tax basis of $114,000 due to the use of different depreciation methods for accounting and tax purposes. The enacted tax rate is ...Use the information for Jenny Corporation in E18-9, and assume that the company reports accounting income of $155,000 in each of 2012 and 2013, and that there is no reversing difference other than the one identified in ...Alliance Inc. reports the following incomes (losses) for both book and tax purposes (assume the carryback provision is used where possible): The tax rates listed were all enacted by the beginning of 2009. Instructions (a) ...
Post your question