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  3. a company paid $150,000 of income tax for 2013. du

A company paid $150,000 of income tax for 2013. During the year, the company recognized...

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Question

Accounting

A company paid $150,000 of income tax for 2013. During the year, the company recognized $80,000

of interest revenue from municipal bonds. Income from municipal bonds are tax exempt. The

company's net deferred tax assets increased from $45,000 to $75,000. The income tax rate is 30

percent. What is the amount the company should report as its pretax accounting income for 2013?

The Answer is $480,000 but need the explanation on we how we got the answer.

Answer & Explanation Solved by verified expert
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