Cross Company reported the following results for the year ended December 31, 2021, its first...
60.1K
Verified Solution
Link Copied!
Question
Accounting
Cross Company reported the following results for the year ended December 31, 2021, its first year of operations:
2021 Income (per books before income taxes) 750,000 Taxable income 1,200,000 The disparity between book income and taxable income is attributable to a temporary difference which will reverse in 2022. What should Cross record as a net deferred tax asset or liability for the year ended December 31, 2021, assuming that the tax rate is 35% for all years?
make a journal entry to record the income taxes at the end of 2021.
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!
