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Pekany Corporation would have had identical income before taxes on both its income tax returns and income statements for 2021 through 2024 except for differences
Pekany Corporation would have had identical income before taxes on both its income tax returns and income statements for 2021 through 2024 except for differences in depreciation on an operational asset. The asset cost $180,000 and is depreciate ncome tax purposes in the following amounts: 2821 2022 2023 2024 $ 59,400 79,200 27,000 14,400 The operational asset has a four-year life and no residual value. The straight-line method is used for financial reporting purpos Income amounts before depreciation expense and income taxes for each of the four years were as follows: Accounting income before taxes and depreciation 2021 2022 2923 2024 $100,000 $120,000 $110,000 $110,008 Assume the income tax rate for 2021 and 2022 was 30%, however, during 2022, tax legislation was passed to raise the tax rat beginning in 2023 The 40% rate remained in effect through the years 2023 and 2024 Both the accounting and income tax pe end December 31 Required: Prepare the journal entries to record income taxes for the years 2021 through 2024. (If no entry is required for a trai select "No journal entry required" in the first account field.) View transaction fist Journal entry worksheet
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