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Get Homework Heip With Chego Stud Get Homework Help With Cheg s apter 16 Saved Help Save & Exit 14 Checl Arndt, Inc., reported the

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Get Homework Heip With Chego Stud Get Homework Help With Cheg s apter 16 Saved Help Save & Exit 14 Checl Arndt, Inc., reported the following for 2018 and 2019 ($ in millions: 2018 2019 $997$1,030 826 211 204 $ 200 230 Revenues t 2 of 2 Expenses 786 Pretax accounting income (income statement) Taxable income (tax return) Tax rate: 40% nts a. Expenses each year include S4o milioromtwarcasualty nsurance policey purchased in 201e for $80 0 million from a two-year casualty insurance policy purchased in 2018 for $80 Ask Print ferences million. The cost is tax deductible in 2018. b. Expenses include $1 million insurance premiums each year for life insurance on key executives. c. Arndt sells one-year subscriptions to a weekly journal. Subscription sales collected and taxable in 2018 and 2019 were $37 million and $48 million, respectively Subscriptions included in 2018 and 2019 financial reporting revenues were $29 million ($11 million collected in 2017 but not recognized as revenue until 2018) and $37 million, respectively. Hint: View this as two temporary differences-one reversing in 2018; one originating in 2018. d. 2018 expenses included a $26 million unrealized loss from reducing investments (classified as trading securitles) e. During 2017, accounting income included an estimated loss of $6 million from having accrued a loss contingency f. At January 1, 2018, Arndt had a deferred tax asset of $7 million and no deferred tax liability to fair value. The investments were sold in 2019. The loss was paid in 2018 at which time it is tax deductible. 3. Compute the deferred tax amounts that should be reported on the 2018 balance sheet. (Enter your answers in millions (i.e. 10,000,000 should be entered as 10)) Deferred tax a (S in millions) KPrev 14 of 15Next>

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