2018 2019 Pretax Financial Income 2017 $840,000 (30,000) $910,000 $945,000 (40,000) (20,000) Excess Depreciation Expense on...

Transcribed Image Text:

2018 2019 Pretax Financial Income 2017 $840,000 (30,000) $910,000 $945,000 (40,000) (20,000) Excess Depreciation Expense on Tax Return Excess Warranty Expense in Financial Income Taxable Income 20,000 10,000 8,000 $830,000 $880,000 $933,000 Required: Prepare journal entries to record tax expense, deferred income taxes, and income taxes payable for 2017, 2018, and 2019 40% Tax rate please explain each step 2018 2019 Pretax Financial Income 2017 $840,000 (30,000) $910,000 $945,000 (40,000) (20,000) Excess Depreciation Expense on Tax Return Excess Warranty Expense in Financial Income Taxable Income 20,000 10,000 8,000 $830,000 $880,000 $933,000 Required: Prepare journal entries to record tax expense, deferred income taxes, and income taxes payable for 2017, 2018, and 2019 40% Tax rate please explain each step

Answer rating: 100% (QA)

Working notes Current tax expense Taxable income for the year Current year tax rate Tax payable Defe... View the full answer