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Hi can somebody explain this problem. I know the solution but I don't understand. Denver Company, a calendar-year corporation, had the following actual income before
Hi can somebody explain this problem. I know the solution but I don't understand. Denver Company, a calendar-year corporation, had the following actual income before income tax expense and estimated effective annual income tax rates for the first three quarters in 2008:
Quarter Income Before Income Tax Exp Estimated Effective Annual Tax Rate at the end of each Qr
1 100,000 30%
2 140,000 24%
3 180,000 30%
Denver's income tax expense in its interim income statement for the third quarter should be:
A.$126,000.
B.$68,400.
C.$62,400.
D.$54,000.
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