Sunland, Inc. uses the accrual method of accounting for financial reporting purposes and appropriately uses the installment method of accounting for income tax purposes. Installment income of $2700000 will be collected in the following years when the enacted tax rates are: Collection of Income Enacted Tax Rates 2024 $240000 25% 2025 540000 20% 2026 846000 20% 2027 1074000 15% The installment income is Sunland's only temporary difference. What amount should be reported as a deferred income tax liability in Sunland's December 31, 2024 balance sheet? $675000 ○ $615000 ○ $507300 ○ $438300

Sunland, Inc. uses the accrual method of accounting for financial reporting purposes and appropriately uses the installment method of accounting for income tax purposes. Installment income of $2700000 will be collected in the following years when the enacted tax rates are: Collection of Income Enacted Tax Rates 2024 $240000 25% 2025 540000 20% 2026 846000 20% 2027 1074000 15% The installment income is Sunland's only temporary difference. What amount should be reported as a deferred income tax liability in Sunland's December 31, 2024 balance sheet? $675000 ○ $615000 ○ $507300 ○ $438300

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter12: Current Liabilities

Section: Chapter Questions

Problem 2EA: Consider the following accounts and determine if the account is a current liability, a noncurrent...

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