Randolph Company reported pretax net income from continuing operations of $979,000 and taxable income of $660,000. The book-tax difference of $319,000 was due to a $216,000 favorable temporary difference relating to depreciation, an unfavorable temporary difference of $95,000 due to an increase in the reserve for bad debts, and a $198,000 favorable permanent difference from the receipt of life insurance proceeds. Randolph Companys applicable tax rate is 34 percent.

7. value:

10.00 points Required information

a.	Compute Randolph Companys current income tax expense.

References eBook & Resources ProblemDifficulty: 2 MediumLearning Objective: 17-05 Recognize the different components of a company's disclosure of its income tax accounts in the financial statements and footnotes and comprehend how a company computes and discloses the components of its effective tax rate.Check my work

8. value:

10.00 points Required information

d.	Complete the reconciliation of Randolph Companys effective tax rate with its hypothetical tax rate of 34 percent.(Amounts to be deducted should be indicated by a minus sign. Round your percentages to 2 decimal places.)

References eBook & Resources ProblemDifficulty: 2 MediumLearning Objective: 17-05 Recognize the different components of a company's disclosure of its income tax accounts in the financial statements and footnotes and comprehend how a company computes and discloses the components of its effective tax rate.Check my work

9. value:

10.00 points Required information

c.	Compute Randolph Companys effective tax rate.(Round your answer to 2 decimal places.)

References eBook & Resources ProblemDifficulty: 2 MediumLearning Objective: 17-05 Recognize the different components of a company's disclosure of its income tax accounts in the financial statements and footnotes and comprehend how a company computes and discloses the components of its effective tax rate.Check my work

10. value:

10.00 points Required information

b.	Compute Randolph Companys deferred income tax expense or benefit.