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Queen Corporation has one temporary difference at the end of 2020 that will reverse and cause taxable amounts of $50,000 in 2021 and $70,000 in
Queen Corporation has one temporary difference at the end of 2020 that will reverse and cause taxable amounts of $50,000 in 2021 and $70,000 in 2022. Queen's pretax financial income for 2020 is $600,000, and the tax rate is 30% for all years. There are no deferred taxes at the beginning of 2020. The journal entry to record income tax for 2020 include... a. Debit Deferred Tax Asset for $36,000. O b. Credit Income Tax Payable for $216,000. O c. Debit Income Tax Expense for $180,000. O d. Credit Deferred Tax Liability for $15,000.
Queen Corporation has one temporary difference at the end of 2020 that will reverse and
cause taxable amounts of $50,000 in 2021 and $70,000 in 2022. Queen's pretax financial
income for 2020 is $600,000, and the tax rate is 30% for all years. There are no deferred
taxes at the beginning of 2020. The journal entry to record income tax for 2020 include...
a. Debit Deferred Tax Asset for $36,000.
O b. Credit Income Tax Payable for $216,000.
O c. Debit Income Tax Expense for $180,000.
O d. Credit Deferred Tax Liability for $15,000.
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