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how do i complete the partial balance sheet?! thankk you! Splish Company has the following two temporary differences between its income tax expense and income
how do i complete the partial balance sheet?! thankk you!
Splish Company has the following two temporary differences between its income tax expense and income taxes payable. Pretax financial income Excess depreciation expense on tax return Excess warranty expense in financial income Taxable income 2020 2021 2022 $828,000 $887,000 $901,000 (30,500) (40,200) (10,100) 20,700 10,500 8,100 $818,200 $857,300 $899,000 The income tax rate for all years is 20%. Your answer is correct. Assuming there were no temporary differences prior to 2020, prepare the journal entry to record income tax expense, deferred income income taxes payable for 2020, 2021, and 2022. (Credit account titles are automatically indented when amount is entered. Do not indent man entry is required, select "No Entry" for the account titles and enter for the amounts.) Account Titles and Explanation Debit Credit 2020 Income Tax Expense 165,600 Deferred Tax Asset 4,140 Deferred Tax Liability 6,100 Income Tax Payable 163,640 2021 Income Tax Expense 177,400 Deferred Tax Asset 2,100 Deferred Tax Liability 8,040 Income Tax Payable 171,460 2022 Income Tax Expense 180,200 Deferred Tax Asset 1,620 Deferred Tax Liability 2020 Income Tax Payable 179,800 - Your answer is partially correct. Indicate how deferred taxes will be reported on the 2022 balance sheet. Splish's product warranty is for 12 months. Splish Company Balance Sheet (Partial) December 31, 2022 Noncurrent Liabilities Deferred Tax Liability 16160Step by Step Solution
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