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I have already asked this question and another chegg person got it wrong so please dont just copy. (4) At the beginning of 2019, Jameson
I have already asked this question and another chegg person got it wrong so please dont just copy.
(4) At the beginning of 2019, Jameson Co. had a deferred tax asset account with a balance of $180,000 attributable to a $600,000 temporary tax difference for estimated warranty expenses. At the end of 2019, the temporary difference is $360,000. The company has no other temporary differences. Pretax accounting income for 2019 is $800,000 and the tax rate is 30%. a. Determine the needed balance in the deferred tax asset account at the end of 2019. b. Prepare the journal entry to record income taxes for 2019. c. Prepare the additional journal entry needed at the end of 2019, assuming that the company anticipates that 1/4 of the deferred tax account will not be realizedStep by Step Solution
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