Score: 0 of 20 pts 15 of 15 (2 complete) E17-19 (similar to) Question Help Lark Lane Corporation concluded that it was able to exclude $4.900,000 in income from its current tax return Income before the exclusion is 55,000,000. There are no book-tax differences. This income is subject to a 35% tax rate. Based on its technical merits, Lark Lane determined that it is more likely than not that the exclusion would be sustained upon examination by tax auditors. The possible outcomes and their related probabilities follow : (Click the icon to view the data.) Requirement Determine the amount of tax benefit from the exclusion that Lark Lane should recognize in its tax provision for the current year and prepare the journal entry needed to record the tax provision for the current year. First, determine the amount of tax benefit from the exclusion that Lark Lane should recognize in its tax provision for the current year The most likely tax benefit to be realized is s Requirement the exclusio le $4,900,000 in income from its current tax return ook-tax differ ed that it is me 0 Data Table - X needed to on that Lark L Likelihood That the Tax Position Will Be Sustained at This Level (%) 15% Filed Amount of the Exclusion That Management Expects to Maintain 4,900.000 4,100,000 3,300,000 2.500.000 720,000 none Score: 0 of 20 pts 15 of 15 (2 complete) E17-19 (similar to) Question Help Lark Lane Corporation concluded that it was able to exclude $4.900,000 in income from its current tax return Income before the exclusion is 55,000,000. There are no book-tax differences. This income is subject to a 35% tax rate. Based on its technical merits, Lark Lane determined that it is more likely than not that the exclusion would be sustained upon examination by tax auditors. The possible outcomes and their related probabilities follow : (Click the icon to view the data.) Requirement Determine the amount of tax benefit from the exclusion that Lark Lane should recognize in its tax provision for the current year and prepare the journal entry needed to record the tax provision for the current year. First, determine the amount of tax benefit from the exclusion that Lark Lane should recognize in its tax provision for the current year The most likely tax benefit to be realized is s Requirement the exclusio le $4,900,000 in income from its current tax return ook-tax differ ed that it is me 0 Data Table - X needed to on that Lark L Likelihood That the Tax Position Will Be Sustained at This Level (%) 15% Filed Amount of the Exclusion That Management Expects to Maintain 4,900.000 4,100,000 3,300,000 2.500.000 720,000 none