The following is selected information from the accounting records of Slow Inc. for X its first year of operations:
Earnings before income taxes $
In determining pretax accounting earnings, the following deductions were made:
a Golf club dues
b Accrued warranty costs
c Depreciation
For tax purposes, the following deductions were made:
a Warranty costs incurred
b CCA
The capital assets, originally costing $ are depreciated on a straightline basis over years, zero residual value, with a full year of depreciation taken in X as the assets were purchased at the start of the year. The tax rate is
Required:
Slow Inc. is a public company. Prepare the journal entry to record income tax at the end of XIf no entry is required for a transactionevent select No journal entry required" in the first account field.
