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NEXT Question 10 The accounting records of Tamarisk Inc. show the following data for 2017 (its first year of operations). 1. Life insurance expense on

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NEXT Question 10 The accounting records of Tamarisk Inc. show the following data for 2017 (its first year of operations). 1. Life insurance expense on officers was $9,500 2. Equipment was acquired in early January for $307,000. Straight line depreciation over a 5-year life is used, with no salvage value. For tax purposes, Tamarisk used a 30% rate to calculate depreciation. 3. Interest revenue on State of New York bonds totaled $3,700. 4. Product warranties werk estimated to be $50,900 in 2017. Actual repair and labor costs related to the warranties in 2017 were $11,000. The remainder is estimated to be paid evenly in 2018 and 2019. 5. Gross profit on an accrual basis was $96,000. For tax purposes, $80,600 was recorded on the installment sales method. 6. Fines incurred for pollution violations were $4,100. 7. Pretax financial income was $739,300. The tax rate is 30%. Prepare a schedule starting with pretax financial income in 2017 and ending with taxable income in 2017. (Enter negative amounts using either a negative sin preceding the number e.g.-45 or parentheses e.g. (45).) Schedule of Pretax Financial Income and Taxable Income for 2017 Pretax financial income Permanent differences CALCULATOR FUL SCREEN PRINTER VERSION ESOURCES BACK NEXT Temporary differences Taxable income es by Study Prepare the journal entry for 2017 to record income taxes payable income tax expense, and deferred income taxes. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required select "Ne Entry for the account titles and enter for the amounts) Account Tities and Explanation

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