The following differences apply to the reconciliation of accounting income and taxable income of Pina...
50.1K
Verified Solution
Link Copied!
Question
Accounting
The following differences apply to the reconciliation of accounting income and taxable income of Pina Inc. for calendar 2023, its first year of operations The enacted income tax rate is 30% for all years.
Pre tax accounting income $456,000
Excess CCA (249,000)
Lawsuit accrual 37,000
Unearned rent revenue deferred on the books but correctly included in taxable income 25,000
Dividend income from Canadian corporations (8,000)
Taxable income= $261,000
1. Excess CCA will reverse equally over a four year period, 2024-2027.
2. It is estimated that the lawsuit accrual will be paid in 2027.
3. Unearned rent revenue will be recognized as earned equally over a four year period, 2024-2027.
Prepare a schedule of future taxable and deductible amounts.
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!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.