For 2023, its first year of operations, Corning Howell's reconciliation of pretax accounting income to taxable income is as follows: Pretax accounting income $ 290,000 Permanent difference (14,900 ) 275,100 Temporary difference-depreciation (20,300 ) Taxable income $ 254,800 Corning's tax rate is 25%. No estimated taxes have been pai
For 2023, its first year of operations, Corning Howell's reconciliation of pretax accounting income to taxable income is as follows: Pretax accounting income $ 290,000 Permanent difference (14,900 ) 275,100 Temporary difference-depreciation (20,300 ) Taxable income $ 254,800 Corning's tax rate is 25%. No estimated taxes have been pai
Chapter14: Taxes On The Financial Statements
Section: Chapter Questions
Problem 4BCRQ
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For 2023, its first year of operations, Corning Howell's reconciliation of pretax accounting income to taxable income is as follows:
Pretax accounting income | $ | 290,000 | ||
Permanent difference | (14,900 | ) | ||
275,100 | ||||
Temporary difference- |
(20,300 | ) | ||
Taxable income | $ | 254,800 | ||
Corning's tax rate is 25%. No estimated taxes have been paid.
What should Corning report as its income tax expense for 2023?
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