Burcham Corporation reported pre-tax book income of $600,000. Tax depreciation exceeded book depreciation by $400,000. In addition,

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Burcham Corporation reported pre-tax book income of $600,000. Tax depreciation exceeded book depreciation by $400,000. In addition, the Company received $300,000 of tax-exempt municipal bond interest. The Company's prior year tax return showed taxable income of $50,000. Compute the Company's book equivalent of taxable income. Use this number to compute the Company's total income tax provision or benefit, assuming a tax rate of 34%.
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Taxation Of Individuals And Business Entities 2015

ISBN: 9780077862367

6th Edition

Authors: Brian Spilker, Benjamin Ayers, John Robinson, Edmund Outslay, Ronald Worsham, John Barrick, Connie Weaver

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