Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

In its 2021 income statement, Sheridan Corp. reported depreciation of $3000000 and interest revenue on municipal obligations of $623000. Sheridan reported depreciation of $4590000 on

In its 2021 income statement, Sheridan Corp. reported depreciation of $3000000 and interest revenue on municipal obligations of $623000. Sheridan reported depreciation of $4590000 on its 2021 income tax return. The difference in depreciation is the only temporary difference, and it will reverse equally over the next 3 years. Sheridan's enacted income tax rates are 25% for 2021, 20% for 2022, and 15% for 2023 and 2024. What amount should be included in the deferred income tax liability in Sheridan's December 31, 2021 balance sheet?

$265000

$331950

$553250

$356550

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

Step: 3

blur-text-image

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

OPEC Twenty Years And Beyond

Authors: Ragaei El Mallakh

1st Edition

1317244737, 9781317244738

More Books

Students also viewed these Economics questions

Question

3. Vary your pace and volume in speaking. Use silence for emphasis.

Answered: 1 week ago

Question

=+Does it present new cocktails or review restaurants?

Answered: 1 week ago

Question

=+Is the message on-strategy?

Answered: 1 week ago