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For the year ended December 31, 2018, Fidelity Engineering reported pretax accounting income of $997,000 Selected information for 2018 from Fidelity's records follows Interest income on municipal bonds Depreciation claimed on the 2018 tax return in excess $36,000 61,000 of depreciation on the income statement Carrying amount of depreciable assets in excess of their tax basis at year-end Warranty expense reported on the income statement Actual warranty expenditures in 2018 95,000 29,000 18,000 Fidelity's income tax rate is 40% At January 1, 2018, Fidelity's records indicated balances of zero and $13,600 In its deferred tax asset and deferred tax liability accounts, respectively Required: 1. Determine the amounts necessary to record income taxes for 2018 and prepare the appropriate journal entry 2. What is Fidelity's 2018 net Income? Complete this question by entering your answers in the tabs below. Required 1 Required 1G) Required 2 Determine the amounts necessary to record income taxes for 2018. (Enter your answers in thousands rounded to two decimal places 0.e.1,230 should be entered as 1.23). Amounts to be deducted should be indicated with a minus sign.) Tax Rate % Pretax accounting income 997.00 on rounicipal bond: (36.00) ncome subject to taxation 961.00x Temporary difterenoe expense 11.00 972.00 x Taxable income income tax return) Required 1GJ Saved Nequireo: t. Determine the amounts necessary to record income taxes for 2018 and prepare the appropnate journal entry 2. What Is Fidelity's 2018 net income? Complete this question by entering your answers in the tabs below Required 1 Calculation Required 1G) Required 2 Prepare the appropriate journal entry. (If no entry is required for a transaction/event, select No journal entry required" in the first account field. Round intermediate calculations to two decimal places. Enter your answers in thousands rounded to two decimal plac e.1,230 should be entered as 1.23).) View transaction list Journal entry worksheet Record 2018 income taxes Notei Enter debits before credits Event Debit Credit Income tax expense eterred tax asset eterred tax liability e tax payable Record entry Clear entry View general journal For the year ended December 31, 2018, Fidelity Engineering reported pretax accounting income of $997,000. Selected information fo 2018 from Fidelity's records follows $36,900 Interest income on mur Required 2 s Depreciation claimed . tax return in excess of depreciation on the income statement Carrying amount of depreciable assets in excess 95,000 of their tax basis at year-end Warranty expense reported on the income statement Actual warranty expenditures in 2018 29,000 18,800 Fidelity's income tax rate is 40%. At January 1, 2018, Fidelity's records indicated balances of zero and $13,600 in its deferred tax asset and deferred tax liability accounts, respectively Required 1. Determine the amounts necessary to record income taxes for 2018 and prepare the appropriate journal entry 2. What Is Fidelity's 2018 net income? Complete this question by entering your answers in the tabs below. Required 1 Calculation ion equired G Required 2 018 net income? (Enter your answer in thousands and round your answer to 2 decimal places. Round intermediate calculations to two decimal places.) let in
