1. Calculate the temporary differences for Jackson Ltd as at 30 June 2020. Justify classification of each difference as either a deductible temporary difference or a ta temporary difference. 2. Prepare a deferred tax worksheet and the journal entry to record deferred tax for th ended 30 June 2020 assuming no deferred items had been raised in prior years.

At December 31, 2018 PT ABC reported a deferred tax liability of Rp90.000 which was attributable to a taxable temporary difference of Rp300.000. The temporary difference is scheduled to reverse in 2022. During 2019, a new tax law increased the corporate tax rate from 30% to 40%. ABC should record this change by debiting: * Retained Earnings for Rp9.000. Income Tax Expense for Rp9.000. Retained Earnings for Rp30.000. Income Tax Expense for Rp30.000.

Eight Independent situations are described below. Each involves future deductible amounts and/or future taxable amounts: 1. 2. 3. 5. 6. 7. 2 The Income Statement Revenue 3 4 5 6 7 8 ($ in millions) Temporary Differences Reported First on: The Tax Return $24 19 19 19 Expense $24 Situations Taxable Income 1 24 24 24 24 Revenue $24 19 9 Expense Required: For each situation, determine taxable income, assuming pretax accounting income is $140 million. (Enter your answers in millions (I.e., 10,000,000 should be entered as 10).) $24 14 14

Novak Inc. reports the following pretax income (loss) for both book and tax purposes. Pretax Year Income (Loss) Tax Rate 2018 20 % 2019 20 % 2020 25 % 2021 25 % $123,000 98,000 (105,000) 110,000 The tax rates listed were all enacted by the beginning of 2018.

Subject: acounting

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During the preparation of financial statement for Master Ltd for 2023 it was discovered thatan amount of $22,000, incurred in September 2021 and payable to an overseas supplier, wasoverlooked and not paid or provided for in the financial statement ending 30 June 2022. Theamount is considered to be material and will be permitted as a deduction for tax purposes(tax rate 30%).Required:i) Prepare the necessary journal entry to correct this error.

Which of the following statements concerning the classification of deferred tax assets and liabilities is true? Multiple Choice A deferred tax asset is classified as noncurrent only if the company expects the future tax benefit to be received more than 12 months from the balance sheet date. All deferred tax assets and liabilities are treated as noncurrent. A deferred tax asset related to a bad debt reserve is classified as current if the related accounts receivable is classified as a current asset. A deferred tax asset related to inventory capitalization is classified as noncurrent only if the company uses a FIFO accounting method and the inventory to which the deferred tax asset relates will not be treated as sold within 12 months from the balance sheet date.

Tamarisk Construction Company changed from the completed-contract to the percentage-of-completion method of accounting for long-term construction contracts during 2021. For tax purposes, the company employs the completed-contract method and will continue this approach in the future. (Hint: Adjust all tax consequences through the Deferred Tax Liability account.) The appropriate information related to this change is as follows. Pretax Income from: Percentage-of-Completion Completed-Contract Difference 2020 $727,000 $561,000 $166,000 2021 644,000 450,000 194,000 (a) Assuming that the tax rate is 40%, what is the amount of net income that would be reported in 2021? Net income $ (b) What entry is necessary to adjust the accounting records for the change in accounting principle? (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and…

For each of the following subsequent (post-balance-sheet) events, indicate whether a company should (a) adjust the financial statements, (b) disclose in notes to the financial statements, or (c) neither adjust nor disclose. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. Subsequent (Post-Balance-Sheet) Events Settlement of federal tax case at a cost considerably in excess of the amount expected at year-end. Introduction of a new product line. Loss of assembly plant due to fire. Sale of a significant portion of the company's assets. Retirement of the company president. Prolonged employee strike. Loss of a significant customer. Issuance of a significant number of shares of common stock. Material loss on a year-end receivable because of a customer's bankruptcy. Hiring of a new president. Settlement of prior year's litigation against the company (no loss was accrued). 12. Merger with another company of comparable size. < < < <