Scout Corporation has income before taxes of $500,000 and a loss on discontinued operations before tax of $100,000. If the income tax rate is 30% on all items, the income statement should show income tax expense and net income, respectively, of

A. $100,000 and $350,000.

B. $180,000 and $420,000.

C. $150,000 and $350,000.

D. $150,000 and $280,000.

In performing a vertical analysis, the base for prepaid expenses is

A.Total assets

B.Total current assets

C.Total liabilities

D.Stockholders equity

Answer rating: 100% (QA)

Part 1 Option D Calculation Income tax expenses Income befo... View the full answer