In its first two years of operations, ending in $2020,$ Robert Inc paid taxes of $$5,700$ on taxable income of $$30,000.$ The tax rate for $2021$ is $20\%.$

Robert Inc's loss before taxes for $2021$ is $$152,000.$ Robert Inc's expenses included $$710,000$ of depreciation expense, and meals and entertainment costs of $$18,000($they are one$-$half deductible for tax purposes$).$

At the beginning of the year, Robert Inc had a future tax liability of $$24,700$ based on $$130,000$ of temporary differences related to its fixed assets.

Robert Inc will claim $$660,000$ of CCA in $2021.$ Management anticipates using all of the loss carryforwards within the allowable carryforward period.

Robert Inc has a calendar year end.

Required:

a$)$ Calculate Robert Inc's taxable income$/$loss for $2021.$

b$)$ Prepare the journal entries to record income taxes for $2021.$

c$)$ Calculate Robert Inc's $2021$ total tax expense$/$recovery$.$ What is their effective tax rate for $2021?$In its first two years of operations, ending in $2020,$ Robert Inc paid

taxes of $$5,700$ on taxable income of $$30,000.$ The tax rate for $2021$ is

$20\%.$

Robert Inc's loss before taxes for $2021$ is $$152,000.$ Robert Inc's

expenses included $$710,000$ of depreciation expense, and meals and

entertainment costs of $$18,000($they are one$-$half deductible for tax

purposes$).$

At the beginning of the year, Robert Inc had a future tax liability of

$$24,700$ based on $$130,000$ of temporary differences related to its

fixed assets.

Robert Inc will claim $$660,000$ of CCA in $2021.$ Management

anticipates using all of the loss carryforwards within the allowable

carryforward period.

Robert Inc has a calendar year end.

Required:

a$)$ Calculate Robert Inc's taxable income$/$loss for $2021.$

b$)$ Prepare the journal entries to record income taxes for $2021.$

c$)$ Calculate Robert Inc's $2021$ total tax expense$/$recovery$.$ What is

their effective tax rate for $2021?$