Question: BE 1 7 - 3 . Permanent Differences. [ Learning Objective 2 ] Simmox Company s income before taxes is $ 2 9 0 ,

BE17-3. Permanent Differences. [Learning Objective 2] Simmox Companys income before taxes is $290,000, and its tax rate is 35%. Note that $40,000 is nontaxable interest income from its investment in municipal bonds and is included in $290,000. There are no other book-tax differences. What are Simmoxs tax expense and taxes payable? What is its net income?

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