Current Attempt in Progress On January 1, 2025, Carla Vista Corporation changed to the percentage-of-completion method...

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Current Attempt in Progress On January 1, 2025, Carla Vista Corporation changed to the percentage-of-completion method of income recognition. This change is justified by Carla Vista Corporation. On December 31, 2024, Carla Vista's Retained Earnings balance was $1700000. Carla Vista calculated that, if the percentage-of-completion method had been used, the accumulated impact on net income (before taking into consideration any income tax effects) would have been an additional $400000 of revenue in 2024. If Carla Vista's income tax rate is 25%, one of the impacts of this accounting change would be an increase to Construction in Progress of $300000 on December 31, 2024. O an increase to Income Tax Payable of $100000. O an increase to Income Tax Expense of $100000 in 2025. Oa decrease to Income Tax Payable of $100000. eTextbook and Media Current Attempt in Progress On January 1, 2025, Carla Vista Corporation changed to the percentage-of-completion method of income recognition. This change is justified by Carla Vista Corporation. On December 31, 2024, Carla Vista's Retained Earnings balance was $1700000. Carla Vista calculated that, if the percentage-of-completion method had been used, the accumulated impact on net income (before taking into consideration any income tax effects) would have been an additional $400000 of revenue in 2024. If Carla Vista's income tax rate is 25%, one of the impacts of this accounting change would be an increase to Construction in Progress of $300000 on December 31, 2024. O an increase to Income Tax Payable of $100000. O an increase to Income Tax Expense of $100000 in 2025. Oa decrease to Income Tax Payable of $100000. eTextbook and Media

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