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the company 2021 year ended taxation year ending december 31,2021. using ASPE the accountant has...

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Accounting

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the company 2021 year ended taxation year ending december 31,2021. using ASPE the accountant has determined that the company has experienced a loss of $120,00 before income taxes. for each question provide the effect on the reconciliation of Net Loss for accounting purposes to minimum net business income/loss for tax purposes. The company deducted Bad Debt Expense in the amount of $5,500 on their Income Statement. This amount was the total of actual bad debt write-offs for the year. They did not set up an Allowance for Doubtful Accounts for accounting purposes. For tax purposes, the Company deducted a reserve of $8,000 for the taxation year ending December 31, 2020. A reasonable estimate of doubtful debts for the year ending December 31, 2021 is $8,100. QUESTION 16 The company spent $2,700 on advertising on a US TV station. The ad was meant to attract American customers to use ABC's online offerings. QUESTION 17 The Company's expenses included a total amount of $12,700 for business meals and entertainment

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