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
Umnica [9.8K]
3 years ago
6

Isaac Inc. began operations in January 2021. For some property sales, Isaac recognizes income in the period of sale for financia

l reporting purposes. However, for income tax purposes, Isaac recognizes income when it collects cash from the buyer's installment payments. In 2021, Isaac had $671 million in sales of this type. Scheduled collections for these sales are as follows: 2021 $ 82 million 2022 136 million 2023 128 million 2024 161 million 2025 164 million $ 671 million Assume that Isaac has a 25% income tax rate and that there were no other differences in income for financial statement and tax purposes. Ignoring operating expenses, what deferred tax liability would Isaac report in its year-end 2021 balance sheet
Business
1 answer:
djverab [1.8K]3 years ago
7 0

Answer:

$147.25 million

Explanation:

Differed tax Isaac would report in its year-end 2021 balance sheet is the difference between the total sales value and the amount scheduled to be collected in 2021 multiply by the tax rate.

Therefore we have:

Deferred tax liability in 2021 = ($671 million - $82 million) * 25% = $147.25 million

Therefore, Differed tax Isaac would report in its year-end 2021 balance sheet is $147.25.

You might be interested in
During the period, labor costs incurred on account amounted to $175,000, including $150,000 for production orders and $25,000 fo
tino4ka555 [31]

Answer:

Option (c) is correct.

Explanation:

Given that,

Labor costs = $175,000

Production order = $150,000

General factory use = $25,000

Factory overhead applied to production = $23,000

Therefore, the journal entry is as follows:

Work in process A/c Dr. $23,000

       To Factory overhead             $23,000

(To record the factory overhead applied to production)

6 0
3 years ago
Which examples demonstrate common qualifications for Quality Assurance careers? Check all that apply.
UkoKoshka [18]

Answer:

2, 3, 6

Explanation:

3 0
3 years ago
Read 2 more answers
A paragraph is defined as group of sentences that center on a
ira [324]
B. thats the answer i got
7 0
3 years ago
Read 2 more answers
If labor productivity growth slows down in a country, this means that the growth rate in ________ has declined.
Alik [6]

Answer:

The answer is letter C

Explanation:

The quantity of goods or services that can be produced by one hour of work

7 0
3 years ago
How can Carlito determine the total income earned by a person?
photoshop1234 [79]

Answer:

income....

Bank statement

Explanation:

3 0
3 years ago
Other questions:
  • Sorin Inc., a company that produces and sells a single product, has provided its contribution format income statement for Januar
    7·1 answer
  • Accounting for lean operations requires fewer transactions because
    9·1 answer
  • 4. Leon is catering a luncheon. He is only supplying the food. What kind of catering service is he providing? A. Social B. Corpo
    5·1 answer
  • Domestic business differs from international business in that a firm operating within the borders of one country A) must be conc
    13·1 answer
  • Which of the following is a financial​ crisis? A. Rebellion in Mexico and the assassination of a presidential candidate shook​ i
    6·1 answer
  • A parent holding company sells shares in its subsidiary such that the parent now owns only 65% of the subsidiary and, thus, the
    10·1 answer
  • Your company has two​ divisions: One division sells software and the other division sells computers through a direct sales​ chan
    6·1 answer
  • Would a firm with low degree of operating leverage need to sell more units of products to reach break-even point or less? Why?
    5·1 answer
  • Free cash flow (FCF) and net income (NI) differ in the following ways:
    14·1 answer
  • Melanie's country has recently gone through a change in governance. The new government has enacted policies to reduce barriers t
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!