Question
119) GFH had pre-tax accounting income of $5,600 during 2014. GFH used accelerated depreciation for tax purposes ($4,000) and straight-line depreciation for financial accounting purposes
119)
GFH had pre-tax accounting income of $5,600 during 2014. GFH used accelerated depreciation for
tax purposes ($4,000) and straight-line depreciation for financial accounting purposes ($800).
During 2014 GFH accrued warranty expenses of $3,600 and paid $2,000 cash to honour
warranties. GFH's taxable income for 2014 would be (show calculations):
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Cornerstones of Managerial Accounting
Authors: Maryanne M. Mowen, Don Hanson, Dan L. Heitger, David McConomy, Jeffrey Pittman
2nd Canadian edition
978-0176721237, 978-0176530884
