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For its first year of operations, Tringali Corporation's reconciliation of pretax accounting income to taxable income is as follows: Pretax accounting income $360,000 Permanent difference
For its first year of operations, Tringali Corporation's reconciliation of pretax accounting income to taxable income is as follows: |
Pretax accounting income | $360,000 |
Permanent difference | (14,100) |
345,900 | |
Temporary difference-depreciation | (19,600) |
Taxable income | $326,300 |
Tringali's tax rate is 39%. |
What should Tringali report as its deferred income tax liability as of the end of its first year of operations? |
$7,644. | |
$33,700. | |
$13,143. | |
$19,600 |
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