acctng hw 16

30% in 2017, and 20% in 2018. Pretax accounting income for 2016 was $520,000, which includes interest revenue of $60,000 from municipal bonds The enacted tax rate is 40%. Assuming no differences between accounting income and taxable income those described above: Required: 1. Complete the following table given below and prepare the journal entry to record income taxes in 2016. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Amounts to be deducted should be indicated with a minus sign. Enter your answers in thousands.) X Answer is not complete. Tax Rate Tax $ Recorded as: % Pretax accounting income $ 520 Permanent difference Income subject to taxation 520 X Temporary difference X Deferred tax liability V Income taxable in Income tax No Event General Journal Debit Credit 2. What is Southern Atlantic's 2016 net income? (Enter your answer in thousands.) Net income