Question
1.During the year2022,MMM Company reported a pretax financial income of P13,500,000.The company revealed the following information for the current year: Interest income from bank deposits-P1,050,000
1.During the year 2022, MMM Company reported a pretax financial income of P13,500,000. The company revealed the following information for the current year:
Interest income from bank deposits - P1,050,000
Life insurance annual premium (the company is the beneficiary of this insurance policy) - P150,000
Tax penalties and surcharges - P60,000
Depreciation claimed on income tax return - P4,050,000
Depreciation per accounting records - P2,100,000
Rental payments made in advance - P600,000
Provisions for probable losses - P150,000
Warranty expense on the accrual basis - P900,000
Actual warranty payment - P300,000
Advance collections from customers - P300,000
Income tax rate for the year 2022 - 30%
Income tax rate for taxable years 2023 onwards - 35%
How much is the Non-Taxable Revenue?
How much is the Non-Deductible Expense?
How much is the Taxable Temporary Difference?
How much is the Deductible Temporary Difference?
How much is the Taxable Income?
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Financial Reporting Financial Statement Analysis And Valuation A Strategic Perspective
Authors: James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
9th Edition
1337614689, 1337614688, 9781337668262, 978-1337614689
