The following information is available for Roginski Corporation for 2017.
1. CCA reported on the 2017 tax return exceeded depreciation reported on the income statement by $160,000. This difference is expected to reverse in equal amounts of $40,000 per year over the period 2018 to 2021.
2. Dividends received from taxable Canadian corporations were $23,000. 3. Rent collected in advance on January 1, 2017 totalled $90,000 for a three-year period. Of this amount, $60,000 was reported as unearned for book purposes at December 31, 2017. 4. The tax rates are 25% for 2017 and 30% for 2018 and subsequent years. 5. Income taxes payable are $200,000 for 2017.
Calculate
(a) Taxable income and
(b) Accounting income for 2017.