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Crane Corporation has one temporary difference at the end of 2025 that will reverse and cause taxable amounts of $52,500 in 2026 , $57,500 in

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Crane Corporation has one temporary difference at the end of 2025 that will reverse and cause taxable amounts of $52,500 in 2026 , $57,500 in 2027 , and $62,200 in 2028 . Crane's pretax financial income for 2025 is $278,800, and the tax rate is 30% for all years. There are no deferred taxes at the beginning of 2025. (a) Compute taxable income and income taxes payable for 2025. Taxable income Income taxes payable The following information is available for Pina Corporation for 2024 (its first year of operations). 1. Excess of tax depreciation over book depreciation, $37,000. This $37,000 difference will reverse equally over the yez 2025-2028. 2. Deferral, for book purposes, of $18,200 of rent received in advance. The rent will be recognized in 2025 . 3. Pretax financial income, $296,200. 4. Tax rate for all years, 20%. Compute taxable income for 2024. Oriole Company reports pretax financial income of $65,800 for 2025 . The following items cause taxable income to be different than pretax financial income. 1. Depreciation on the tax return is greater than depreciation on the income statement by $16,700. 2 Rent collected on the tax return is greater than rent recognized on the income statement by $20,500. 3. Fines for pollution appear as an expense of $10,200 on the income statement. Oriole's tax rate is 40% for all years, and the company expects to report taxable income in all future years. There are no deferred taxes at the beginning of 2025. (a) Compute taxable income and income taxes payable for 2025. Crane Corporation has one temporary difference at the end of 2025 that will reverse and cause taxable amounts of $52,500 in 2026 , $57,500 in 2027 , and $62,200 in 2028 . Crane's pretax financial income for 2025 is $278,800, and the tax rate is 30% for all years. There are no deferred taxes at the beginning of 2025. (a) Compute taxable income and income taxes payable for 2025. Taxable income Income taxes payable The following information is available for Pina Corporation for 2024 (its first year of operations). 1. Excess of tax depreciation over book depreciation, $37,000. This $37,000 difference will reverse equally over the yez 2025-2028. 2. Deferral, for book purposes, of $18,200 of rent received in advance. The rent will be recognized in 2025 . 3. Pretax financial income, $296,200. 4. Tax rate for all years, 20%. Compute taxable income for 2024. Oriole Company reports pretax financial income of $65,800 for 2025 . The following items cause taxable income to be different than pretax financial income. 1. Depreciation on the tax return is greater than depreciation on the income statement by $16,700. 2 Rent collected on the tax return is greater than rent recognized on the income statement by $20,500. 3. Fines for pollution appear as an expense of $10,200 on the income statement. Oriole's tax rate is 40% for all years, and the company expects to report taxable income in all future years. There are no deferred taxes at the beginning of 2025. (a) Compute taxable income and income taxes payable for 2025

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