1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
mote1985 [20]
3 years ago
10

As a result of differences between depreciation for financial reporting purposes and tax purposes, the financial reporting basis

of Noor Co.’s sole depreciable asset acquired in the current year exceeded its tax basis by $250,000 at December 31. This difference will reverse in future years. The enacted tax rate is 30% for the current year and 40% for future years. Noor has no other temporary differences. In its December 31 balance sheet, how should Noor report the deferred tax effect of this difference?
Business
1 answer:
Verizon [17]3 years ago
8 0

Answer:

Deferred tax liability = $52,500

Explanation:

Difference between depreciation for financial reporting purposes and tax purposes at December 31 = 250,000

Enacted tax rate = 30%

Tax rate for future years = 40%

so Deferred tax liability = $250,000 x 40% = $100,000

You might be interested in
All sources of income is also known as which of the following
mariarad [96]
It is name nontaxiable
6 0
3 years ago
A rule of nature that tells you what will happen under certain conditions is a
Naddik [55]

I guess the correct answer is Scientific Law.

Scientific Law is rule of nature that tells you what will happen under certain conditions.

5 0
2 years ago
PLEASE HELP ME!!!!!!!
marissa [1.9K]
C. Taking your competition seriously.
4 0
2 years ago
Read 2 more answers
Me. Gareth owns a toy-manufacturing company. Which of these items in his company is an intermediate good?
kakasveta [241]
Well it is a toy manfacturing company and the intermediate good would be a toy plane
5 0
2 years ago
Read 2 more answers
A monopoly exists when _____ provides a good or service.
marishachu [46]
A company controls the market for a good or service
8 0
3 years ago
Other questions:
  • Last summer Rick worked at a shoe store where he was told there was a commission for selling more shoes so Rick worked really ha
    14·1 answer
  • A company has a new concept for a lightweight electric scooter that can be easily folded and taken with you inside a building or
    8·2 answers
  • Susan picked up a package of potato chips and noticed on the front of the package the words, "0 grams of trans fat." She looked
    8·1 answer
  • 3. Hidden details can be shown in drawing<br>using <br>line.​
    5·1 answer
  • Jack and Jill are the only two residents in a neighbourhood, and they would like to hire a security guard. The value of a securi
    8·1 answer
  • What body of people do not have to worry about raising capital?
    11·1 answer
  • Match each cost with the investment type to which it relates. investment advisory fees administrative costs commissions hourly f
    9·2 answers
  • Assume the account number for income summary is 901.2
    9·1 answer
  • Milan Company issued bonds with a face value of $200,000 on January 1, 2018. The bonds had a 7 percent stated rate of interest a
    12·1 answer
  • Financial statements can be prepared _____. (select all that apply.) multiple select question.
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!