Relix, Inc., is a domestic corporation with the following balance sheet for book and tax purposes...

 

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Relix, Inc., is a domestic corporation with the following balance sheet for book and tax purposes at the end of the year before recording any net deferred tax asset or net deferred tax liability. Таx Book Debit/(Credit) Debit/(Credit) Assets Cash $500 $500 Accounts receivable 8,000 8,000 Buildings 750,000 750,000 Accumulated depreciation (450,000) (380,000) Furniture and fixtures 70,000 70,000 Accumulated depreciation (46,000) (38,000) Total assets $332,500 $410,500 Liabilities Accrued litigation expense $0 ($50,000) Note payable (78,000) (78,000) Total liabilities ($78,000) ($128,000) Stockholders' Equity Paid-in capital ($10,000) ($10,000) Retained earnings (244,500) (272,500) Total liabilities and stockholders' equity ($332,500) ($410,500) Based on this information, determine Relix's net deferred tax asset or net deferred tax liability at year end. Assume a 21% Federal corporate tax rate and no valuation allowance. a. The total difference in the book and tax bases of the assets is $ , which results in a gross deferred tax liability in the amount of $ b. The total difference in the book and tax bases of the liabilities is $ , which results in a gross deferred in the amount of $ c. Relix's net deferred tax liability at year end is $ Relix, Inc., is a domestic corporation with the following balance sheet for book and tax purposes at the end of the year before recording any net deferred tax asset or net deferred tax liability. Таx Book Debit/(Credit) Debit/(Credit) Assets Cash $500 $500 Accounts receivable 8,000 8,000 Buildings 750,000 750,000 Accumulated depreciation (450,000) (380,000) Furniture and fixtures 70,000 70,000 Accumulated depreciation (46,000) (38,000) Total assets $332,500 $410,500 Liabilities Accrued litigation expense $0 ($50,000) Note payable (78,000) (78,000) Total liabilities ($78,000) ($128,000) Stockholders' Equity Paid-in capital ($10,000) ($10,000) Retained earnings (244,500) (272,500) Total liabilities and stockholders' equity ($332,500) ($410,500) Based on this information, determine Relix's net deferred tax asset or net deferred tax liability at year end. Assume a 21% Federal corporate tax rate and no valuation allowance. a. The total difference in the book and tax bases of the assets is $ , which results in a gross deferred tax liability in the amount of $ b. The total difference in the book and tax bases of the liabilities is $ , which results in a gross deferred in the amount of $ c. Relix's net deferred tax liability at year end is $

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