The information that follows pertains to Richards Refrigeration, Inc.: a. At December 31, 2018, temporary differences existed between the financial statement carrying amounts and the tax bases of the following: ( in millions ) Future Taxable (Deductible) Carrying x Basis Amount $47 Amount Buildings and equipment (net of accumu lated depreciation) Prepaid insurance Liability-loss contingency $154 $107 67 67 (42) 42 b. No temporary differences existed at the beginning of 2018. c. Pretax accounting income was $217 million and taxable income was $145 million for the year ended December 31, 2018. The tax rate is 35%. Required: 1. Complete the following table given below and prepare the appropriate journal entry to record income taxes for 2018 2. What is the 2018 net income? Complete this question by entering your answers in the tabs below. Required 1 Calculation Required 2 Required 1 GJ Complete the following table given below to record income taxes for 2018. (Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5). Negative amounts should be entered with a minus sign.) Required: 1. Complete the following table given below and prepare the appropriate journal entry to record income taxes for 2018 2. What is the 2018 net income? Complete this question by entering your answers in the tabs below. Required 1 Calculation Required 1 GJ Required 2 Complete the following table given below to record income taxes for 2018. (Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5). Negative amounts should be entered with a minus sign.) ($ in millions) Tax Rate % x $ Recorded as: Pretax accounting income 217.0 Permanent differences Income subject to taxation 217.0 0.0 Temporary Differences Depreciation Prepaid insurance Liability- loss contingency Income taxable in current year 217.0 > Required 1 Calculation Required 1 GJ II II X X Required: 1. Complete the following table given below and prepare the appropriate journal entry to record income taxes for 2018 2. What is the 2018 net income? Complete this question by entering your answers in the tabs below. Required 1 Calculation Required 1 GJ Required 2 Prepare the appropriate journal entry to record income taxes for 2018. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5)) View transaction list Journal entry worksheet 1 Record 2018 income taxes Note: Enter debits before credits. Event General Journal Debit Credit Required: 1. Complete the following table given below and prepare the appropriate journal entry to record income taxes for 2018 2. What is the 2018 net income? Complete this question by entering your answers in the tabs below. Required 1 Required 1 GJ Required 2 Calculation What is the 2018 net income? (Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5).) Net income million Required 2 Required 1 GJ
