The information that follows pertains to Esther Food Products: At December 31, 2018,...
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Accounting
The information that follows pertains to Esther Food Products:
At December 31, 2018, temporary differences were associated with the following future taxable (deductible) amounts:
Depreciation
$
56,000
Prepaid expenses
24,000
Warranty expenses
(6,000
)
No temporary differences existed at the beginning of 2018.
Pretax accounting income was $95,000 and taxable income was $21,000 for the year ended December 31, 2018.
The tax rate is 40%.
Required: Complete the following table given below and prepare the appropriate journal entry to record income taxes for 2018.
Calculation General Journal Complete the following table given below to record income taxes for 2018. (Negative amounts should be entered with a minus sign.) Tax Rate Tax $ Recorded as: $ 95,000 Pretax accounting income Permanent differences = Income subject to taxation Temporary Differences = Income taxable in current year Calculation General Journal > Journal entry worksheet 1 Record 2018 income taxes. Note: Enter debits before credits. General Journal Debit Credit Event 1 Record entry Clear entry View general Journal
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