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The following information applies to the questions displayed below] Hafnaoui Company reported pretax net income from continuing operations of $869,000 and taxable income of

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The following information applies to the questions displayed below] Hafnaoui Company reported pretax net income from continuing operations of $869,000 and taxable income of $580,000. The book-tax difference of $289,000 was due to a $286,000 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 $98,000 favorable permanent difference from the receipt of life insurance proceeds. Problem 17-75 Part a (Algo) a. Compute Hafnaoui Company's current income tax expense. Current income tax expense displayed below] Hafnaoui Company reported pretax net income from continuing operations of $869,000 and taxable income of $580,000. The book-tax difference of $289,000 was due to a $286,000 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 $98,000 favorable permanent difference from the receipt of life insurance proceeds. Problem 17-75 Part b (Algo) b. Compute Hafnaoui Company's deferred income tax expense or (benefit). Note: Enter all numbers as a positive number and indicate whether a deferred tax expense or a deferred tax benefit. Deferred income tax benefit Deferred income tax expense L

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