15) In 2019, Bodily corporation reported $100,000 pretax accounting income. The income tax rate for that year was 25%. Bodily had an unused $120,000 net operating loss carryforward from 2017. Bodily's income tax payable for 2019 would be: a) $5,000 b) $20,000 c) $25,000 d) $40,000 7. Woody Inc. had $120 million in taxable income for the current year. Woody also had an increase in deferred tax assets of $4 million and a decrease in deferred tax liabilities of $6 million. The company is subject to a tax rate of 25%. The total income tax expense for the year was: a. $20 million b. $28 million C. $32 million d. $40 million 8. Candy company has a defined pension plan. For year 2019, the following information were available: Service costs @ $20,000 Interests cost @ 6,000 Benefits paid for the year @ 9,000 Expected return on Plan Assets @ 8,000 Actual return on Plan assets @ 12,000 Cash deposited with pension trustee @ 17,000 Amortization of net Loss-AOCI @ 1,000 There were no other pension-related costs. What is the amount of pension expense? a) $15,000 b) $19,000 c) $20,000 d) $26,000 9. Pretax accounting income for the year ended December 31, 2019, was $50 million for Johnson company. Johnson's taxable income was $60 million. This was a result of differences between straight-line depreciation for financial reporting purposes and accelerated depreciation for tax purposes. The enacted tax rate is 25% for 2019 and 30% thereafter. What amount should truffles report as the current portion of income tax expense for 2019? a. $24 million b. $18 million C. $15 million d. $12.5 million 10. JL health services reported a net loss-AOCI of $50 million in 2018 balance sheet. In 2019, the company revised its estimate of future salary levels causing its PBO estimate to decline by $10. Also, the $24 million actual return on plan assets was less than the $28 million expected return. The amount of amortization of net loss-AOCI for 2018 was $2. As a result: a. The December 31, 2019 balance of net loss-AOCI will be $42 million b. The statement of comprehensive income will report a $4 million gain and a $10 million loss. C. Pension expense would decrease by $12 million d. The net pension liability will increase by $24 million. 15) In 2019, Bodily corporation reported $100,000 pretax accounting income. The income tax rate for that year was 25%. Bodily had an unused $120,000 net operating loss carryforward from 2017. Bodily's income tax payable for 2019 would be: a) $5,000 b) $20,000 c) $25,000 d) $40,000 7. Woody Inc. had $120 million in taxable income for the current year. Woody also had an increase in deferred tax assets of $4 million and a decrease in deferred tax liabilities of $6 million. The company is subject to a tax rate of 25%. The total income tax expense for the year was: a. $20 million b. $28 million C. $32 million d. $40 million 8. Candy company has a defined pension plan. For year 2019, the following information were available: Service costs @ $20,000 Interests cost @ 6,000 Benefits paid for the year @ 9,000 Expected return on Plan Assets @ 8,000 Actual return on Plan assets @ 12,000 Cash deposited with pension trustee @ 17,000 Amortization of net Loss-AOCI @ 1,000 There were no other pension-related costs. What is the amount of pension expense? a) $15,000 b) $19,000 c) $20,000 d) $26,000 9. Pretax accounting income for the year ended December 31, 2019, was $50 million for Johnson company. Johnson's taxable income was $60 million. This was a result of differences between straight-line depreciation for financial reporting purposes and accelerated depreciation for tax purposes. The enacted tax rate is 25% for 2019 and 30% thereafter. What amount should truffles report as the current portion of income tax expense for 2019? a. $24 million b. $18 million C. $15 million d. $12.5 million 10. JL health services reported a net loss-AOCI of $50 million in 2018 balance sheet. In 2019, the company revised its estimate of future salary levels causing its PBO estimate to decline by $10. Also, the $24 million actual return on plan assets was less than the $28 million expected return. The amount of amortization of net loss-AOCI for 2018 was $2. As a result: a. The December 31, 2019 balance of net loss-AOCI will be $42 million b. The statement of comprehensive income will report a $4 million gain and a $10 million loss. C. Pension expense would decrease by $12 million d. The net pension liability will increase by $24 million