Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The income tax footnote to the financial statements of Life Technologies Company, for the year ended December 31, 2014, includes the following information (in thousands):
The income tax footnote to the financial statements of Life Technologies Company, for the year ended December 31, 2014, includes the following information (in thousands):
Provision for income taxes | |
Federal | $237,481 |
State | 13,156 |
Foreign | 50,548 |
301,185 | |
Deferred tax provision | |
Federal | (174,953) |
State | (9,925) |
Foreign | (1,182) |
(186,060) | |
Changes in tax rate | (13,749) |
Current income taxes | $101,376 |
a. What income tax expense did Life Technologies Company report in its 2014 income statement?
b. How much of the income tax expense is payable in 2014?
c. Why would changes in the tax rate affect the deferred tax account? Did the tax rate increase or decrease? Explain.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started