Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Oriole Corp. prepared the following reconciliation of income per books with income per tax return for the year ended December 31, 2021: Book income before

Oriole Corp. prepared the following reconciliation of income per books with income per tax return for the year ended December 31, 2021:

Book income before income taxes $2610000
Add temporary difference
Construction contract revenue which will reverse in 2022 231000
Deduct temporary difference
Depreciation expense which will reverse in equal amounts in
each of the next four years (938400)
Taxable income $1902600

Oriole's effective income tax rate is 25% for 2021. What amount should Oriole report in its 2021 income statement as the current provision for income taxes?

$710250

$475650

$57750

$652500

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

Students also viewed these Accounting questions