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Business, 31.03.2020 02:04 keoni18

For its first year of operations, Tringali Corporation's reconciliation of pretax accounting income to taxable income is as follows:

Pretax accounting income $300,000
Permanent difference
(15,000)

285,000
Temporary difference-depreciation (20,000)
Taxable income
$265,000

Tringali's tax rate is 40%.

What should Tringali report as its deferred income tax liability as of the end of its first year of operations?

a. $35,000.
b. $20,000.
c. $14,000.
d. $8,000.

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Answers: 1

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For its first year of operations, Tringali Corporation's reconciliation of pretax accounting income...
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