Question
Zeus Company reported pretax financial income of P3,000,000 for the year ended December 31,2020. The taxable income was P 4,000,000. The difference is due to
Zeus Company reported pretax financial income of P3,000,000 for the year ended December 31,2020. The taxable income was P 4,000,000.
The difference is due to rental received in advance. Rental income is taxable when received.
The income tax rate is 30% and Zeus Company made estimated tax payment of P500,000 during the current year.
What is the journal entries relating to income tax for 2020 and what is the total income tax expense for 2020?
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Managerial Accounting Tools For Business Decision Making
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso, Ibrahim M. Aly
5th Canadian Edition
1119403995, 9781119403999
