Dr income tax expense 164400 dr deferred tax assets

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DR Income Tax Expense 164,400 DR Deferred Tax Assets 22,400 CR Deferred Tax Liabilities 36,800 CR Tax Due For The Year (Taxes Payable) 150,000 B3c. ( 5 points) Write the amounts that will appear at the bottom of ABC’s income statement starting with Income Before Tax. Income Before Taxes 601,000 Less: Income tax expense Current 150,000 Deferred 14,400 164,400 Net Income 436,600 B3d. ( 5 points) What is MMA’s effective tax rate? 27.35% Federal Tax Rate 40.00% State and Municipal Bond Interest Revenue ($75,000/601,000)(.40) (4.99) Life Insurance Proceeds ($82,000/601,000)(.40) (5.46) Intercorporate Dividend Revenue ($33,000/$601,000)(.40) (2 .20 ) Effective Income Tax Rate 27.35% 15
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