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On January 1 , 2 0 2 1 , Ameen Company purchased major pieces of manufacturing equipment for a total of $ 7 0 million.

On January 1,2021, Ameen Company purchased major pieces of manufacturing equipment for a total of $70 million. Ameen uses
straight-line depreciation for financial statement reporting and MACRS for income tax reporting. At December 31,2023, the book value
of the equipment was $64 million and its tax basis was $54 million. At December 31,2024, the book value of the equipment was $62
million and its tax basis was $47 million. There were no other temporary differences and no permanent differences. Pretax accounting
income for 2024 was $35 million.
Required:
Prepare the appropriate journal entry to record Ameen's 2024 income taxes. Assume an income tax rate of 25%.
What is Ameen's 2024 net income?
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Complete this question by entering your answers in the tabs below.
Prepare the appropriate journal entry to record Ameen's 2024 income taxes. Assume an income tax rate of 25%.
Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your
answers in millions rounded to 2 decimal place (i.e.,10,000,000 should be entered as 10.00).
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