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Exercise 16-9 (Static) Identify future taxable amounts and future deductible amounts (L016-2, 16- Listed below are 10 causes of temporary differences. For each temporary difference

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Exercise 16-9 (Static) Identify future taxable amounts and future deductible amounts (L016-2, 16- Listed below are 10 causes of temporary differences. For each temporary difference indicate the balance sheet account for w situation creates a temporary difference. Balance Sheet Account Temporary Difference 1. Accrual of loss contingency, tax-deductible when paid Newspaper subscriptions, taxable when cash is received, recognized for 2 financial reporting when the performance obligation is satisfied 3. Prepaid rent tax-deductible when paid. 4. Accrued bond interest expense; tax-deductible when paid 5. Prepaid insurance tax deductible when paid Unrealized loss from recording investments at fair value, tax deductible 6 when investments are sold. Warranty expense, estimated for financial reporting when products are sold 7 deducted for tax purposes when paid 8 Advance rent receipts on an operating lease as the loss or taxable when received 9 Straight-line depreciation for financial reporting accelerated depreciation for tax purposes 10 Accrued expense for employee vacation days not yet taken tax deductible when employee takes vacation in future Saved He Exercise 16-9 (Static) Identify future taxable amounts and future deductible amounts [L016-2, 16- Listed below are 10 causes of temporary differences. For each temporary difference indicate the balance sheet account for wt situation creates a temporary difference. Balance Sheet Account Temporary Difference 1. Accrual of loss contingency, tax-deductible when paid 2. Newspaper subscriptions; taxable when cash is received, recognized for financial reporting when the performance obligation is satisfied. 3. Prepaid rent; tax-deductible when paid. 4. Accrued bond interest expense; tax-deductible when paid. 5. Prepaid insurance, tax-deductible when paid. 6 Unrealized loss from recording investments at fair value tax deductible when Investments are sold 7 Warranty expense, estimated for financial reporting when products are sold deducted for tax purposes when paid 8 Advance rent receipts on an operating lease as the lessor taxable when received 9. Straight-line depreciation for financial reporting: accelerated depreciation for tax purposes Accrued expense for employee vacation days not yet taken tax deductible 10 when employee takes vacation in future Accumulated depreciation Deferred rent revenue Deferred subscription revenue Interest payable

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