XYZ Company reported the following pretax income (loss) and related tax rates during the years 2016-2021. Year Pretax Income (loss) Tax rate 2016 $75,000 30% 2017 150,000 30% 2018 240,000 40% 2019 (540,000) 48% 2020 210,000 40% 2021 300,000 42% Prepare the journal entries for the years 2019 and 2020 to record income taxes and the tax effects of the loss. Assume that XYZ elects the carryback provision where possible and it is probable that it will realize benefits of any loss carryforward. Prepare the portion of the income statement that presents your answer in part (a) for the year ended 2019.

Q: The pretax financial income (or loss) figures for Whispering Company are as follows. 2016…

A:

Q: income reported for Olive Company.                     Income Tax Rate             2019   ($250,000)…

A: Income tax refers to the mandatory percentile charged imposed by the authoritative government on the…

Q: Kingbird Corporation had the following tax information. Year   Taxable Income   Tax Rate   Taxes…

A: Statement for computation of the effect of the loss carryback Net Operating Loss Carryback…

Q: Wynn Farms reported a net operating loss of $280,000 for financial reporting and tax purposes in…

A: Solution 1: Net Operating loss carryback Amount Rate of Tax Tax Recorded as Carried back - 2017…

Q: Below are the taxable profits and losses for the past few years along with the tax rates on income…

A: As per the honor code, we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit…

Q: On its December 31, 2020 balance sheet, U Company had income tax payable of P520,000 and a current…

A: Deferred tax liability = Beganning deferred tax asset - Ending deferred tax asset balance = P800,000…

Q: BDO Company reported the following on December 31, 2015: Income before tax for accounting purposes…

A: The deferred tax asset is an asset for the company that is overpaid due to the difference in book…

Q: CSX Corporation reported the following in its tax footnote to its 2019 financial statements. Use…

A: ROA stands for return on assets. ROA is a ratio that computes the return on total assets. Formula =…

Q: Bird Company reported $350,000 in book income before income tax during 2021, its first year of…

A: Formula: Deferred tax liability= Tax depreciation exceeded its book depreciation amount x tax rate…

Q: J-Matt, Inc., had pretax accounting income of $291,000 and taxable income of $300,000 in 2016. The…

A:

Q: EL Co. reported net income for the current year 2021 at P560,000 before provision of income tax…

A: Particulars Amount Accounting income per book  P560000 Permanent differences :…

Q: Bonita Company reports pretax financial income of $76,500 for 2020. The following items cause…

A: Taxable income: It is the income calculated as per the tax laws and on which the applicable tax…

Q: (NOL without Valuation Account) Jennings Inc. reported the following pretax income (loss) and…

A:

Q: The pretax financial income (or loss) figures for Marin Company are as follows. 2015…

A: Carry Forward of Losses: Losses incurred in the previous year can be carried forward to the…

Q: XYZ Company reported the following pretax income (loss) and related tax rates during the years…

A: a. Prepare the journal entries for the years 2019 and 2020 to record income taxes and the tax…

Q: Wynn Farms reported a net operating loss of $195,000 for financial reporting and tax purposes in…

A: Solution 1: Net Operating loss carryback Amount Rate of Tax Tax Recorded as Carried back - 2017…

Q: Bonita Inc. reports the following pretax income (loss) for both book and tax purposes. Pretax Year…

A: The income tax is an expense for business entity which is charged on the generated income for each…

Q: EL Co. reported net income for the current year 2021 at P560,000 before provision of income tax…

A: Particulars Amount Accounting income per book  P560000 Permanent differences :…

Q: At the end of 2015, Payne Industries had a deferred tax asset account with a balance of $30 million…

A: Valuation Allowance:  Valuation allowance is that financial item that offsets the deferred tax…

Q: The pretax financial income (or Loss) figures for Limerick co. are as follows: 2017 83,000 2018…

A: Given Information: Tax rate for 2017 = 25% Tax rate for remaining years = 20%

Q: 29. For the year 2016, Sawi Ak Co. reported an income tax expense of P110,000. Income tax payable at…

A: solution given Income tax expense for 2016 P 110,000 Income tax payable , beginning of…

Q: Spamela Hamderson Inc. reports the following pretax income (loss) for both financial reporting…

A:

Q: Bramble Corp. follows IFRS and began operations in 2020 and reported accounting income of $274,000…

A: Deferred tax Deferred tax which are described as the tax difference between the current tax and any…

Q: A company reports the following pretax income (loss) for both financial reporting purposes and tax…

A: In year 2020, there is a loss of $208,800 Tax rate in 2020 is 22% Deferred tax asset (DTA) for the…

Q: Jennings Inc. reported the following pretax income (loss) and related tax rates during the years…

A: Income tax expense (benefit) = Operating loss before income taxes X tax rate = 180000 x 20% =…

Q: Skysong Inc. reports the following pretax income (loss) for both financial reporting purposes and…

A:

Q: Lindemax Inc. reports the following pretax income (loss) for both financial reporting purposes and…

A: In this question, we will recognize the income tax expense in the first two years only. and in the…

Q: x Company reports the following pretax income (loss) for both book and tax purposes.   Year.…

A: Journal is a place where accounting transactions are listed in the book keeping system before ledger…

Q: During 2021, its first year of operations, Baginski Steel Corporation reported a net operating loss…

A: Deferred tax assets = Net operating loss x enacted tax rate = $440,000 x 25% = $110,000

Q: During 2016, its first year of operations, Baginski Steel Corporation reported a net operating loss…

A: Net Operating Loss Carryforward The net operating loss is considered as negative taxable income.…

Q: Wynn Farms reported a net operating loss of $225,000 for financial reporting and tax purposes in…

A: Deferred tax asset or deferred tax liability generally arises when there is a difference between…

Q: Ross Company has been in business for several years, during which time it has been profitable. For…

A: Net Operating loss carryback: Carry back of net operating losses (NOLs) can help provide cash…

Q: Jennings Inc. reported the following pretax income (loss) and related tax rates during the years…

A: Journal entries are the foundation of bookkeeping that helps in building a base for the preparation…

Q: Bramble Inc. reports the following incomes (losses) for both book and tax purposes (assume the…

A: Income before tax means the earnings from which the tax is yet to be deducted.

Q: s pretax financial income of $68,400 for 2020. The following items cause taxable income to be…

A: The answers have been mentioned below.

Q: The pretax financial income (or loss) figures for Teal Mountain Company are as follows. 2017…

A: Year Particulars Debit Credit 2017 Income Tax Expense 19000       Income Tax Payable…

Q: Wangerin Company reported the following pretax financial income (loss) for the years 2018–2022.…

A: A.Prepare the journal entries for the years 2020–2022 to record income tax expense, income taxes…

Q: The pretax financial income (or loss) figures for Martinez Company are as follows. 2012…

A: Income tax expense:  Income tax expense is an expense for the company which is equal to a certain…

Q: Below are the taxable profits and losses for the past few years along with the tax rates on income…

A: a. Tax effect for year 2019 : When the company incurs the net profit for the year, then the tax…

Q: EL Co. reported net income for the current year 2021 at P560,000 before provision of income tax…

A: Particulars Amount Accounting income per book  P560000 Permanent differences :    Interest…

Q: osh Company reports pretax financial income of P700,000 for 2020. The following caused taxable…

A: Solution: Taxable income for 2020 = Pretax income - Depreciation on the tax return is greater than…

Q: Nash reported the following pretax financial income (loss) for the years 2020-2022. 2020 $98,400…

A: Pretax financial income or loss is the income earned or loss incurred by the ending before making…

Q: A company reports the following pretax income (loss) for both financial reporting purposes and tax…

A: Solution: deferred tax asset at the end of 2020 =  loss carryforward * tax rate

Q: EL Co. reported net income for the current year 2021 at P560,000 before provision of income tax…

A: Particulars Amount Accounting income per book  P560000 Permanent differences :…

Q: The pretax financial income (or loss) figures for Marin Company are as follows. 2017   76,000…

A: Working Notes: 1. ($76,000 x 25%) = $19,000 2. ($48,000 x 20%) = $9,600 3. ($43,000 x 20%) = $8,600…

Q: Operating income and tax rates for C.J. Company’s first three years of operations were as follows:…

A: A deferred tax adjustment is prevalent where there is a temporary difference in the book value and…