Exercise 19-12 (Part Level Submission) The following facts relate to Duncan Corporation.

(a) Compute the amount of pretax financial income for 2014.

Pretax financial income

$

1.

2.

Deferred tax asset, January 1, 2014, $47,400.

3.

Taxable income for 2014, $248,850.

4.

Cumulative temporary difference at December 31, 2014, giving rise to future taxable amounts, $497,700.

5.

Cumulative temporary difference at December 31, 2014, giving rise to future deductible amounts, $225,150.

6.

Tax rate for all years,40%. No permanent differences exist.

7.

The company is expected to operate profitably in the future.

4/7/2016 Exercise 19-12 (Part Level Submission) Print by: Sasha Cortes FULC162_ACCT201_21847: SP2016 21847 ACCT 201BFHY1 Intermediate Accounting / Ch. 19 HW *Exercise 1912 (Part Level Submission) The following facts relate to Duncan Corporation. 1. 2. 3. 4. Deferred tax liability, January 1, 2014, $142,200. Deferred tax asset, January 1, 2014, $47,400. Taxable income for 2014, $248,850. Cumulative temporary difference at December 31, 2014, giving rise to future taxable amounts, $497,700. 5. Cumulative temporary difference at December 31, 2014, giving rise to future deductible amounts, $225,150. 6. Tax rate for all years, 40%. No permanent differences exist. 7. The company is expected to operate profitably in the future. *(a) Your answer is incorrect. Try again. Compute the amount of pretax financial income for 2014. Pretax financial income $ 99,540 Attempts: 2 of 5 used *(b) The parts of this question must be completed in order. This part will be available when you complete the part above. *(c) The parts of this question must be completed in order. This part will be available when you complete the part above. *(d) The parts of this question must be completed in order. This part will be available when you complete the part above. Copyright 20002016 by John Wiley & Sons, Inc. or related companies. All rights reserved. http://edugen.wileyplus.com/edugen/shared/assignment/test/qprint.uni 1/1