For the year ended December 31, 2021, Fidelity Engineering reported pretax accounting Income of $1,016,000. Selected Information for 2021 from Fidelity's records follows: Required: 1. Determine the amounts necessary to record income taxes for 2021, and prepare the appropriate Journal entry. 2. What is Fidelity's 2021 net income? $ 72,600 96, eee Complete this question by entering your answers in the tabs below. . Interest income on municipal governmental bonds Depreciation claimed on the 2021 tax return in excess of depreciation on the income statement Carrying amount of depreciable assets in excess of their tax basis at year-end Warranty expense reported on the income statement Actual warranty expenditures in 2021 168,000 46, Bee 36, Bee Required 1 Required 1 GJ Required 2 Calculation Prepare the appropriate journal entry. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round intermediate calculations to 2 decimal places. Enter your answers in thousands (ie.. 5,500 should be entered as 5.5).) Fidelity's Income tax rate is 25%. At January 1, 2021, Fidelity's records indicated balances of zero and $18,000 in its deferred tax asset and deferred tax liability accounts, respectively. View transaction list Required: 1. Determine the amounts necessary to record Income taxes for 2021, and prepare the appropriate Journal entry. 2. What is Fidelity's 2021 net income? Journal entry worksheet Complete this question by entering your answers in the tabs below. Record 2021 income taxes. Required 1 Calculation Required 1 G Required 2 Determine the amounts necessary to record income taxes for 2021. (Enter your answers in thousands rounded to 1 decimal place. 1 . Amounts to be deducted should be indicated with a minus sign.) Note: Enter debits before credits. . Tax Rate % Transaction Tax $ Recorded as: Credit General Journal Debit $ 1.016 1 1 Pretax accounting income Permanent difference $ 1,016 x Income subject to taxation Temporary difference x Record entry Clear entry View general journal Taxable income income tax return) $ 1,016 x |