contestada

Based on the following information, compute 2018 taxable income for South Co. assuming that its pre-tax accounting income for the year ended December 31, 2018 is $460,000. Future taxable Temporary difference (deductible) amount Installment sales $384,000 Depreciation $120,000 Unearned rent ($400,000)

Respuesta :

adebayodeborah8

Answer:

TAXABLE INCOME              $356,000

Explanation:

pre tax accounting income =  $460,000

Installment sales                  =    - $384,000

Depreciation                          =    - $120,000

Unearned rent                       =   ($400,000)

TAXABLE INCOME              $356,000

gbenewaeternity

Answer:

South Co. taxable income = $356,000

Explanation:

Given Data:

Installment sales = $384,000

Depreciation = $120,000

Unearned rent = $400,000

Pre-tax accounting income = $460,000

South Co. taxable income is calculated using the formula;

South Co. taxable income =  Pre-tax accounting income+ Unearned rent -  

                                                  Installment sales - Depreciation

                                         = $460,000 + $400,000 -$384,000- $120,000

                                         = $356,000

Otras preguntas