Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Help Save & Exit Sub Check my wor MM prepared the following schedule of temporary differences from the beginning of the year to the end

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Help Save & Exit Sub Check my wor MM prepared the following schedule of temporary differences from the beginning of the year to the end of the year Motown Memories Inc. Temporary Differences Scheduling Template BOY Current Taxable Deferred Year Cumulative Deferred Temporary Differences Taxes Change TID Taxes Accumulated depreciation $(1,680,000) $(1,000,000 $(9,eee.ee 5(1,890,000) Deductible Temporary Differences Allowance for bad debts Reserve for warranties Inventory IRC 5263A adjustment Deferred compensation Accrued pension liabilities Total BOY Deferred Taxes $42,800 21,000 50,400 10, see 630,000 $753,900 Current Year Change $5e,eee 20,000 60, eee 10,000 25e,eee $390, eee EOY Cumulative T/D $250,000 120,000 3ee, eee 60, eee 3,25e,eee $3,980, eee BOY Deferred Taxes $52,500 25,200 63,800 12,600 682,500 5835, 8ee Required: a. Compute MM's current income tax expense or benefit for 2020. RRRRRRRARA wave o EXT su Check my word MU b. Compute MM's deferred income tax expense or benefit for 2020, c. Prepare a reconciliation of MM's total income tax provision with its hypothetical income tax expense of 21 percent in both dollars and rates Complete this question by entering your answers in the tabs below. Reg A and B Reqc Prepare a reconciliation of MM's total income tax provision with its hypothetical income tax expense of 21 percent in both dollars and rates. (Amounts to be deducted should be indicated by a minus sign, Roqnd your percentage answers to 2 decimal places. Do not round intermediate values.) Reconciliation of Effective Tax Rate Percent Tax provision before adjustments Dollars arch O RE Saved Complete this question by entering your answers in the tabs below. Req A and B Reqc Prepare a reconciliation of MM's total income tax provision with its hypothetical income tax expen dollars and rates. (Amounts to be deducted should be indicated by a minus sign. Round your part places. Do not round intermediate values.) Reconciliation of Effective Tax Rate Dollars Percent Tax provision before adjustments % % % % % Income tax provision wave o EXT su Check my word MU b. Compute MM's deferred income tax expense or benefit for 2020, c. Prepare a reconciliation of MM's total income tax provision with its hypothetical income tax expense of 21 percent in both dollars and rates Complete this question by entering your answers in the tabs below. Reg A and B Reqc Prepare a reconciliation of MM's total income tax provision with its hypothetical income tax expense of 21 percent in both dollars and rates. (Amounts to be deducted should be indicated by a minus sign, Roqnd your percentage answers to 2 decimal places. Do not round intermediate values.) Reconciliation of Effective Tax Rate Percent Tax provision before adjustments Dollars arch O RE Saved Complete this question by entering your answers in the tabs below. Req A and B Reqc Prepare a reconciliation of MM's total income tax provision with its hypothetical income tax expen dollars and rates. (Amounts to be deducted should be indicated by a minus sign. Round your part places. Do not round intermediate values.) Reconciliation of Effective Tax Rate Dollars Percent Tax provision before adjustments % % % % % Income tax provision

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting The Impact On Decision Makers

Authors: Gary A Porter, Curtis L Norton

7th Edition

1439080526, 9781439080528

More Books

Students also viewed these Finance questions