Check my For the year ended December 31, 2021, Fidelity Engineering reported pretax accounting income of $1,040,000. Selected information for 2021 from Fidelity's records follows: Interest income on municipal governmental bonds Depreciation elaimed on the 2021 tax return in exces of depreciation on the income statement Carrying amount of depreciable assets in exc of their tax basis at year-end Warranty expense reported on the income statement Metual warranty expenditures in 2021 $ 96,000 120.000 216.000 58.000 48,000 Fidelity's income tax rate is 25%. At January 1, 2021, Fidelity's records indicated balances of zero and $24,000 in its deferred tax asset and deferred tax liability accounts, respectively. Required: 1. Determine the amounts necessary to record income taxes for 2021, and prepare the appropriate journal entry 2. What is Fidelity's 2021 net income? Complete this question by entering your answers in the tabs below. Required 1 Calculation Required 10 Required 2 Determine the amounts necessary to record income taxes for 2021. (Enter your answers in thousands rounded to 1 decimal place Amounts to be deducted should be indicated with a minus sign.) Tax Rate Tax Recorded as: Calculation Required 16) Required 2 Determine the amounts necessary to record income taxes for 2021. (Enter your answers in thousands rounded to I decimal place Amounts to be deducted should be indicated with a minus sign.) Tax Rate % Tax $ Recorded as: $ 1,040 Pretax accounting income Permanent difference Income subject to taxation Temporary difference Depreciation Taxable income (income tax retum) $ 1,040 Required 1 GJ > Required 1 Calculation Required 1 Required 2 Prepare the appropriate joumal entry. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round intermediate calculations to 2 decimal places. Enter your answers in thousands (I.e., 5,500 should be entered as 5.5).) Skipped View transaction list Book Journal entry worksheet References Record 2021 income taxes Not: Enter debits before credits Transaction General Journal Debit Credit - Huy accounts, respectively. Required: 1. Determine the amounts necessary to record income taxes for 2021, and prepare the appropriate journal entry. 2. What is Fidelity's 2021 net income? Complete this question by entering your answers in the tabs below. Required 1 Calculation Required 1 6 Required 2 What is Fidelity's 2021 net income? (Round intermediate calculations to 2 decimal places. Enter your answers in thousands (l.e., 5,500 should be entered as 5.5).) Not income
