In 2016, its first year of operations, Wilber Company reported pretax accounting income of $60,000. Included in the $60,000 was an expense for accrued, unpaid warranty costs of $8,000, which are not deductible until paid for income tax purposes. Wilber's income tax rate was 20%. The entry to record the income tax expense would include a
A) credit to Income Tax Expense for $12,000.
B) credit to Income Taxes Payable for $12,000.
C) credit to Deferred Tax Liability for $1,600.
D) debit to Deferred Tax Asset for $1,600.
D
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New customers will be hard to find, once a market reaches ________
A) the rapid growth stage B) the early growth stage C) its lowest market potential D) its tipping point E) saturation
Brush Industries reports the following information for May:Sales$900,000Fixed cost of goods sold 100,000Variable cost of goods sold 250,000Fixed selling and administrative costs 100,000Variable selling and administrative costs 125,000 Calculate the gross margin for May under absorption costing.
A. $550,000 B. $650,000 C. $525,000 D. $325,000 E. $575,000
What type of criteria is used in an open and informal selection system?
a) Clearly defined criteria b) Selectors’ individual preferences c) Less defined criteria d) No panel discussion.
Optimal capital structure "first" criteria suggests that THE IMPACT ON EPS should be ________ and that the best way to obtain that is with ________ levels of debt and ________ levels of equity
A) high; low; high B) low; high; low C) high; high; low D) low; low; high