Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Hendrie Inc. reported earnings before income taxes of $3,675,000 in 20X9. The tax rate for this year is 34%. Item Golf club dues, $58,000 Depreciation
Hendrie Inc. reported earnings before income taxes of $3,675,000 in 20X9. The tax rate for this year is 34%. Item
- Golf club dues, $58,000
- Depreciation expense, $69,500
- Development costs incurred during year; capitalized for accounting purposes, $290,000
- Warranty costs accrued during year, $49,000
- Interest and penalty for late payment payroll taxes, $72,500
- CCA, $560,000
- Amortization of capitalized development costs, $29,000
- Costs incurred during year for warranty work completed, $36,750
Required: 1. After adjusting for all of the items listed above, what is the taxable income? 2. What is the amount of income taxes payable?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started