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geniusboy [140]
3 years ago
6

In 20X1, Modern Property Groups collected rent revenue for 20X2 tenant occupancy. For financial reporting, the rent is recorded

as deferred revenue and then recognized as income in the period tenants occupy rental property. But for income tax reporting it is taxed when collected. The deferred portion of the rent collected in 20X1 was $40,000. Taxable income is $100,000. No temporary differences existed at the beginning of the year, and the tax rate is 30%. The journal entry to record income taxes at the end of 20X1 includes (Select all that apply.)
Business
1 answer:
vekshin13 years ago
7 0

Answer:

Debit deferred tax asset for $12,000

Debit income tax expense for $18,000

Credit income tax payable for $30,000

Explanation:

The journal entries will look as follows:

<u>Date     Account Name and Description       Debit ($)      Credit ($)   </u>

20X1     Deferred tax asset (w.1)                        12,000

             Income tax expense (w.3)                    18,000

                Income tax payable (w.2)                                      30,000

<em><u>             (To record income taxes at the end of 20X1.)                             </u></em>

Workings:

w.1: Deferred tax asset = Deferred portion of the rent collected in 20X1 * Tax rate = $40,000 * 12% = $12,000

w.2: Income tax payable = Taxable income * Tax rate = $100,000 * 30% = $30,000

w.3: Income tax expense = Income tax payable - Deferred tax asset = $30,000 - $12,000 = $18,000

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Direct and Indirect Costs Kubin Company's relevant range of production is 18,000 to 22,000 units. When it produces and sells 20,
pychu [463]

Answer:

a) direct manufacturing cost    $220,000

b) indirect manufacturing cost $130,000

2 a) the manufacturing department cost will be of $350,000

  b) zero as direct material, labor and overhead can be determinated.

3) a) $40,000

  b) $50,000 advertizement.

4) No as we can set the object cost to determinate the direct and indirect cost of the adminsitrative expenses.

Explanation:

a) The direct manufacturing cost will be the variable manufacturing cost linked to the unit cost:

Materials $7 + Labor $4 = $11 per unit

20,000 units x $11.00 = $ 220,000

b) indirect manufacturing cost will be the overhead.

20,000 x ($1.5 + $5) = 130,000

2)

a) Materials, labor and overhead.

which totals for 350,000

2 b) all the manufacturing cost are traceable so zero.

3)

fixed selling

20,000 x 3.5 = 70,000

less 50,000 advertizement = 20,000

variable sales:

commisions $1 x 20,000 + 20,000 = 40,000 direct cost (sales persons)

b) the indirect cost will be the advertizement as cannot be linked directly to the sales person cost.

3 0
3 years ago
What type of protection does U.S law grant the creator of a book, film, or piece of music
frozen [14]

The type of protection that the U.S law would grant the creator of a book, film, or piece of music is: Option B.

<h3>What is copyright law?</h3>

Copyright law can be defined as a set of formal rules and regulations that are granted by the government to protect an intellectual property (IP), especially by giving the creator or original author (owner) an exclusive right to use during his or her lifetime, while preventing any unauthorized access, unlawful use or duplication by other parties.

This ultimately implies that, a copyright grants a creator the exclusive right to use the creation during his or her lifetime, as well as to the creator's heirs for 70 years after the creator's death.

Read more on copyright laws here: brainly.com/question/397668

4 0
2 years ago
The government offers a subsidy of $5 per unit that increases the profit-maximizing quantity to 200 units. What will the total c
mars1129 [50]

Answer:

An apple, potato, and onion all taste the same if you eat them with your nose plugged

Explanation:

7 0
3 years ago
1. The car dealer is offering a promotion on a new that the buyer pays zero interest over 72 months. The monthly payment is $350
inessss [21]

Answer:

selling price of this car is $22700  

Explanation:

given data

zero interest = 72 months

monthly payment = $350

market interest rate = 3.5% per year = 0.2917 % per month

time = 6 year = 72 months

solution

we get here present value of annuity that is

present value  annuity  = ( 0.2917 % per month , 72 months )

present value  annuity  =  64.8568

so here selling price of car is

selling price = monthly payment ×  present value  annuity  ............1

selling price = $350 × 64.8568

selling price = $22700

so selling price of this car is $22700  

8 0
3 years ago
What is one way learning to budget now will affect your future?
bagirrra123 [75]

Answer:

not saving up

Explanation:

I dont have one

5 0
2 years ago
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