Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. evergreen companys reconciliation between pretax g

Evergreen Companys reconciliation between pretax GAAP income and taxable income follows for the year. ...

60.1K

Verified Solution

Question

Accounting

Evergreen Companys reconciliation between pretax GAAP income and taxable income follows for the year.

Pretax GAAP income $320,000

Depreciation adjustment (64,000)

Permanent difference 2,000

Taxable income $258,000

The company had one temporary difference due to the GAAP basis of equipment exceeding the tax basis of equipment. Record the income tax journal entry for the year, assuming a tax rate of 25%. Assume that the January 1 deferred tax liability balance was $8,000.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Basic Math
1.2K views

126 The following three Independent sets of facts relate to contingent llabilities 1 In November...

Medical Sciences
1.2K views

1. After a receptor signals a sensory neuron in a reflex what happens? 2. Examples of Exteroreceptors...

Medical Sciences
1.2K views

Describe the process of skeletal muscle contraction starting from an action potential being sent down a...

Physics
1.2K views

Spectrometer Lab Summarize this experiment from purpose to procedure to analysis. Include all important theoretical equations. {¶ ≤...

General Management
1.2K views

discuss at least four different reasons why companies that are based on a foundation of corporate...

Basic Math
1.2K views

Scott is saving for a down payment to buy a house. The account earns 7.7%...

Calculus
1.2K views

For the following exercises, convert the given Cartesian coordinates to polar coordinates withr> 0, ?0...

Calculus
1.2K views

Recall that cot x cos x sin x

Accounting
1.2K views

14. Keilah Company is considering the purchase of equipment that would cost $300,000 and would...

Accounting
1.2K views

On March 12, Fret Company sold merchandise in the amount of $7,800 to Babson Company,...

Accounting
1.2K views

Ben Gordon, Inc. manufactures 2 products, wheels and seats. The company has estimated its overhead...

Accounting
1.2K views

Problem 12-17 (Static) Translation, Journal Entries, Consolidated Comprehensive Income, and Stockholders' Equity LO 12-4, 12-5...