Rowen, Inc. had pre-tax accounting income of $270,0000 and a tax rate of 40% in 2018, its first year of operations. During 2018 the company had the following transactions: Received rent from Jane, Co. for 2019 $96,000 Municipal bond income $120,000 Depreciation for tax purposes in excess of book depreciation $60,000 Installment sales revenue to be collected in 2019 $162,000 For 2019, what is the amount of income taxes payable for Rowen, Inc.?

$603,200

$654,400

$490800

$772,800

Answer rating: 100% (QA)

Computation of Taxable Income Pre Tax Accounting Income Rent received Municipal Bond Incom... View the full answer