I need some assistance with this assignment…

I need some assistance with this assignment…

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Chapter 19:
Extra Credit Homework Opportunity (Spring ’13)
Name (Print): ___________________________
1. (1 point)
In 2013, Comet Corp incurred warranty expense of $265,000 which is expected to be paid during the next 3 years as
follows:
2014
$
70,000
2015
85,000
2016
110,000
This is Comet’s only temporary difference in 2013.
Comet had 2013 pretax accounting income of $952,000 and a 2013
tax rate of 30%.

What tax consequence will Comet record for this transaction?
Deferred Tax _________________ of $_____________
Asset or Liability

What is Comet’s 2013 taxable income?
$____________________

What is Comet’s 2013 Income Tax Expense?
$___________________

What is Comet’s 2013 Income Tax Payable?
$____________________
2. (1 point)
SoftScrob Corp was incorporated and started business in 2008.
The pretax financial income (loss) figures for all years
are as follows:
2008
$120,000
2009
240,000
2010
110,000
2011
(190,000)
2012
(370,000)
2013
118,000
2014
95,000
Pretax financial income (loss) and taxable income (loss) were the same for all years involved.
Assume a 35% tax rate for
2008 and 2009, and a 25% tax rate for the remaining years.

What is the 2009 Income Tax Expense?
$____________________

What is the 2011 Income Tax Refund Receivable?
$____________________

What is the 2012 Tax Benefit associated with a carry-back?
$____________________

What is the 2012 Tax Benefit associated with a carry-forward?
$____________________

What is the remaining balance in the Deferred Tax Asset account at the end of 2014?
$____________________
NOTE:
Remember to staple the paper(s) on which you did the work to this sheet.

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