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Exercise 16-10 (Algo) Calculate income tax amounts under various circumstances [LO16-2, 16-3] Four independent situations are described below. Each involves future deductible amounts and/or future
Exercise 16-10 (Algo) Calculate income tax amounts under various circumstances [LO16-2, 16-3] Four independent situations are described below. Each involves future deductible amounts and/or future taxable amounts produced by temporary differences: Taxable income Future deductible amounts Future taxable amounts Balance(s) at beginning of the year: Deferred tax asset Deferred tax liability ($ in thousands) Situation 1 2 3 4 $136 $268 $300 $416 16 20 20 16 16 80 2 22 8 22 4 The enacted tax rate is 25%. Required: For each situation, determine the following: (Enter your answers in thousands rounded to one decimal place (i.e. 1,200 should be entered as 1.2). Negative amounts should be indicated by a minus sign. Leave no cell blank, enter "O" wherever applicable.) a. Income tax payable currently. b. Deferred tax asset-ending balance. c. Deferred tax asset-change. d. Deferred tax liability-ending balance. e. Deferred tax liability-change. f. Income tax expense. Situation 1 2 3 4
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