In January, Year 8, Bear Corporation's audit of its financial statements was underway. At that time, Bear determined the income tax provision of $66,000 for Year 7. In June, Year 8, the IRS examination of Year 5 was completed. Bear agreed to pay an additional $22,000 in federal income taxes. How should Bear account for the additional assessment for financial statements purposes?

Answer rating: 100% (QA)

Bear Corporation should account for the additional 22000 tax assessment in its financial statements ... View the full answer