anco Corporation, an accrual-method corporation, reported taxable income of $1,600,000 this year. Included in axable income were the following items: • MACRS depreciation of $226,000. Depreciation for earnings and profits purposes is $133,000. • A net capital loss carryover of $14,000 from last year. • A net operating loss carryover of $28,900 from last year. • $77,550 capital gain from the distribution of land to the company's sole shareholder (see below). lot included in the computation of taxable income were the following items: • Tax-exempt Income of $9,650. • Life Insurance proceeds of $259,000. Excess current-year charitable contribution of $2.800 (to be carried over to next year

Cass Corporation reported pretax book income of $12,870,000. During the current year, the reserve for bad debts increased by $285,000. In addition, tax depreciation exceeded book depreciation by $250,000. Cass Corporation sold a fixed asset and reported book gain of $102,750 and tax gain of $136,500. Finally, the company received $343,000 of tax-exempt life insurance proceeds from the death of one of its officers. Compute the company's current income tax expense or benefit. Note: Round your final answer to nearest whole dollar amount. Amounts to be deducted should be indicated by a minus sign. X Answer is complete but not entirely correct. Pretax book income Bad debt reserve Depreciation Fixed asset gain Tax-exempt life insurance proceeds Taxable income Current income tax expense $ 12,870,000 285,000 (250,000) $ $ 102,750 X (343,000) 250,000 X 136,500 ×

During the current year, Dale Corporation sold a segment of its business at a gain of $315,000.Until it was sold, the segment had a current period operating loss of $112,500. The company had$1,275,000 from continuing operations for the current year.Prepare the lower part of the income statement, beginning with the $1,275,000 income fromcontinuing operations. Follow tax allocation procedures, assuming that all changes in incomeare subject to a 20% income tax rate. Disregard earnings per share disclosures. (Round all calculations to nearest dollar amount.)

The LD TV Corporation had taxable income of $815,000 this past year. Its cost of goodssold was $0.8 million and its operating expenses were $300,000. Interest expenses onoutstanding debts were $100,000, and the company paid $30,000 in preferred stockdividends. The company received interest income of $15,000. Determine LD TV’s sales.

Shimmer Incorporated is a calendar-year-end, accrual-method corporation. This year, it sells the following long-term assets: Accumulated Depreciation $ 54,000 n/a Sales Price Building Sparkle Corporation stock $ 703,000 138,000 Shimmer does not sell any other assets during the year, and its taxable income before these transactions is $820,000. What are Shimmer's taxable income and tax liability for the year? Asset Description Taxable income Tax liability S Amount 820,000 172.200 Cost $ 657,000 238,000

Sol Limited. reported earnings of $550,000 in 20X8. The company has $95,000 of depreciation expense this year, and claimed CCA of $150,000. The tax rate was 28%. At the end of 20X7, there was a $130,000 loss carryforward that was not recorded because use was considered less than probable. The company also reported a deferred tax liability of $75,000 caused by capital assets with a net book value of $1,350,000 and UCC of $1,050,000. The tax rate had been 20% in 20X7. Required: What is the amount of income tax expense in 20X8? Tax expense Prepare the income tax entry or entries. A View transaction list No 1 2 Date 20X8 20X8 View journal entry worksheet Income tax expense Deferred income tax asset Income tax payable Income tax payable Income tax expense General Journal Debit Credit 138,600

Hafnaoui Company reported pretax net income from continuing operations of $1,104,000 and taxable income of $661,500. The book-tax difference of $442,500 was due to a $295,000 favorable temporary difference relating to depreciation, an unfavorable temporary difference of $118,000 due to an increase in the reserve for bad debts, and a $265,500 favorable permanent difference from the receipt of life insurance proceeds. At the end of the year, the reserve for bad debts had a balance of $147,500; the beginning balance in the account was $29,500. Hafnaoui's beginning book (tax) basis in its fixed assets was $1,038,000 ($857,000) and its ending book (tax) basis is $1,595,000 ($1,119,000). d. Provide a reconciliation of Hafnaoui Company's effective tax rate with its hypothetical tax rate of 21 percent. Note: Amounts to be deducted should be indicated by a minus sign. Round your percentages to 2 decimal places. ETR reconciliation (in $) Income tax expense at 21% Tax benefit from permanent…

t ces Hafnaoui Company reported pretax net income from continuing operations of $1,168,000 and taxable income of $695,500. The book-tax difference of $472,500 was due to a $315,000 favorable temporary difference relating to depreciation, an unfavorable temporary difference of $126,000 due to an increase in the reserve for bad debts, and a $283,500 favorable permanent difference from the receipt of life insurance proceeds. At the end of the year, the reserve for bad debts had a balance of $157,500; the beginning balance in the account was $31,500. Hafnaoui's beginning book (tax) basis in its fixed assets was $1,046,000 ($869,000) and its ending book (tax) basis is $1,615,000 ($1,123,000). Problem 17-77 Part b (Algo) b. Compute Hafnaoui Company's deferred income tax expense or benefit. Note: Enter all numbers as a positive number and indicate whether a deferred tax expense or a deferred tax benefit.

Shimmer Incorporated is a calendar-year-end, accrual-method corporation. This year, it sells the following long-term assets: Accumulated Depreciation $ 40,000 n/a Asset Building Sparkle Corporation stock Description Taxable income Tax liability Shimmer does not sell any other assets during the year, and its taxable income before these transactions is $854,000. What are Shimmer's taxable income and tax liability for the year? Sales Price $ 704,000 136,000 Amount Cost $ 693,000 187,000

St. George, Incorporated reported $711,800 net income before tax on this year’sfinancial statement prepared in accordance with GAAP. The corporation’s recordsreveal the following information:Four years ago, St. George realized a $283,400 gain on the sale of investmentproperty and elected the installment sale method to report the sale for taxpurposes. Its gross profit percentage is 50.12, and it collected $62,000 principaland $14,680 interest on the installment note this year.Five years ago, St. George purchased investment property for $465,000 cash froman LLC. Because St. George and the LLC were related parties, the LLC’s $12,700realized loss on the sale was disallowed for tax purposes. This year, St. George soldthe property to an unrelated purchaser for $500,000.A flood destroyed several antique carpets that decorated the floors of corporateheadquarters. Unfortunately, St. George’s property insurance does not coverdamage caused by rising water, so the loss was uninsured. The carpets’…