This is an advanced financial accounting question. It is about ownership patterns and income taxes....
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This is an advanced financial accounting question. It is about ownership patterns and income taxes. I KNOW the ANSWER is B 2250 but I do not know why. Can someone EXPLAIN WHY THE ANSWER IS B? If you just say the answer is B, I can't rate you
49. White Company owns 60% of cody company. Separate tax returns are required. For 2012.White's operabng income (excluding taxes and any income from Cody) was s300,000 while Cody reported a pretax income of $125,000. During the period, Cody a total of $25.0 in cash dividends; s15,000 (60%) to White and $10,000 to paid the non-controlling interest. White paid dividends of s180,000. The income tax rate for both companies is 30% Compute White's deferred income taxes for 2013. A. $6,000. B. $2,250 C. $3,150 D. $11,250. E. $21,000
This is an advanced financial accounting question. It is about ownership patterns and income taxes.
I KNOW the ANSWER is B 2250 but I do not know why. Can someone EXPLAIN WHY THE ANSWER IS B? If you just say the answer is B, I can't rate you

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