During its first year of operations, Nile.com reported a net operating loss of $15 million for financial reporting and tax purposes. The enacted tax rate is 40%. Prepare the journal entry to recognize the income tax benefit of the net operating loss.

Information relating to Waukegan Company for the current year is as follows:          Income from continuing operations before tax $ 140,000   Income from discontinued operations (pretax)   40,000     What is the amount of the income tax expense that should be allocated to the income from discontinued operations? (Assume the effective tax rate is 25%)   income tax expense

Wynn Farms reported a net operating loss of $180,000 for financial reporting and tax purposes in 2021. The enacted tax rate is 25%. Taxable income, tax rates, and income taxes paid in Wynn's first four years of operation were as follows: 2017 2018 Taxable Tax Income Rates $ 80,000 20% 90,000 20 Income Taxes Paid $16,000 18,000 2019 160,000 25 2020 80,000 35 40,000 28,000 Required: 1. Prepare the journal entry to recognize the income tax benefit of the net operating loss. NOL carrybacks are not allowed for most companies, except for property and casualty insurance companies as well as some farm-related businesses. Assume Wynn is one of those businesses. 2. Show the lower portion of the 2021 income statement that reports the income tax benefit of the net operating loss. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare the journal entry to recognize the income tax benefit of the net operating loss. NOL carrybacks are not allowed for most…

Range Rover Inc. had taxable income of $152,000 for the year. The GAAP basis of accounts receivable (net) $9,600 less than the tax basis of accounts receivable. Assuming a tax rate of 25%, record the income tax journal entry on December 31. Assume zero beginning balances in deferred tax accounts Note: faline in a journal entry ant required for the transaction select N/A as the account names and leave the Dr. and Cr. answers blank (zero) Dr. Account Name Date Dec 31 income Tax Expose Income Tax Payate Deferred Tax Asset Tocesant income

In its first year of operations, HD Corporation reported pretax accounting income of $820 million for the current year. Depreciation reported in the tax return in excess of depreciation in the income statement was $1,020 million. The excess tax will reverse itself evenly over the next three years. The current year's tax rate of 25% will be changed under the current law to 30% next year and 35% for all subsequent years. At the end of the current year, the deferred tax liability related to the excess depreciation for HD Corp, will be: Multiple Choice $340 million $306 million $408 million $357 million

At year-end 2002, Yung.com had notes payable of $1200, accounts payable of $2400, and long-term debt of $6000. Corresponding entries for 2003 are $1600, $2000, and $6000. Asset values are below. During 2003, Yung.com had sales of $5000, cost of goods sold of $ 400, depreciation of $100, and interest paid of $150. The (average) tax rate is 21 %, and all taxes are paid currently. The company has 100 shares of common stock outstanding with a stock price of $15 at the end of 2003. Total dividends paid is $120 in 2003. Current Asset 2002 2003 Cash $800 $500 Marketable securities 400 300 Accounts receivable 900 800 Inventory 1800 2000 Fixed Assets Net Fixed Asset ( Plant&Equipment) $6000 $2000 In 2003, the Market - value - to - Book - value ratio is %

Candyland Property and Casualty Insurance Corporation reported a net operating loss of $220,000 for financial reporting and tax purposes in 2019. The enacted tax rate is 25%. Taxable income and tax rates in Candyland's first two years of operation were as follows: 2017 $40,000 30% 2018 $100,000 25% Assuming NOL carryback is allowed for companies up to 2 years, the amount of net loss reported on the income statement for the year ended December 31, 2019 would be: O $154,000 O $158,000 O $163,000 O $165,000

Grand Corporation reported pre-tax book income of $600,000. Tax depreciation exceeded book depreciation by $400,000. In addition, the company received $300,000 of tax-exempt municipal bond interest. The company’s prior year tax return showed taxable income of $40,000. Assuming a tax rate of 21%, compute the company’s current income tax expense or benefit. (Enter the answer as a positive.) Please explain step by step because I'm not getting the correct answer.

For its first year of operations, Tringali Corporation's reconciliation of pretax accounting income to taxable income is as follows:            Pretax accounting income $ 300,000     Permanent difference   (15,000 )       285,000     Temporary difference-depreciation   (20,000 )   Taxable income $ 265,000        Tringali's tax rate is 25%. Assume that no estimated taxes have been paid. What should Tringali report as its deferred income tax liability as of the end of its first year of operations?

Romie Ltd is preparing accounts for the year ended 31 December 20X5. The company has an estimated tax charge of $35,000 for the year ended December 20X5. The trial balance includes an entry of $2,000 relating to an over provision of tax in the previous financial year. What is the charge for tax in the statement of profit or loss for the year ended December 20X5?