The information that follows pertains to Esther Food Products: a. At December 31, 2024, temporary differences were associated with the following future taxable (deductible) amounts: Depreciation Prepaid expenses Warranty expenses $ 52,000 22,000 (19,000) b. No temporary differences existed at the beginning of 2024. c. Pretax accounting income was $74,000 and taxable income was $19,000 for the year ended December 31, 2024. d. The tax rate is 25%. Required: Complete the following table given below and prepare the appropriate journal entry to record income taxes for 2024. Complete this question by entering your answers in the tabs below. Calculation General Journal Complete the following table given below to record income taxes for 2024. Note: Amounts to be deducted should be entered with a minus sign. Description Pretax accounting income Permanent differences Income subject to taxation Temporary Differences Income taxable in current year Calculation General Journal Amount Tax Rate = Tax Recorded as: $ 74,000 x = x x x = < Calculation General Journal > Prepare the appropriate journal entry to record income taxes for 2024. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first ac View transaction list Journal entry worksheet < 1 Record 2024 income taxes. Note: Enter debits before credits. Transaction 1 General Journal Debit Credit
The information that follows pertains to Esther Food Products: a. At December 31, 2024, temporary differences were associated with the following future taxable (deductible) amounts: Depreciation Prepaid expenses Warranty expenses $ 52,000 22,000 (19,000) b. No temporary differences existed at the beginning of 2024. c. Pretax accounting income was $74,000 and taxable income was $19,000 for the year ended December 31, 2024. d. The tax rate is 25%. Required: Complete the following table given below and prepare the appropriate journal entry to record income taxes for 2024. Complete this question by entering your answers in the tabs below. Calculation General Journal Complete the following table given below to record income taxes for 2024. Note: Amounts to be deducted should be entered with a minus sign. Description Pretax accounting income Permanent differences Income subject to taxation Temporary Differences Income taxable in current year Calculation General Journal Amount Tax Rate = Tax Recorded as: $ 74,000 x = x x x = < Calculation General Journal > Prepare the appropriate journal entry to record income taxes for 2024. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first ac View transaction list Journal entry worksheet < 1 Record 2024 income taxes. Note: Enter debits before credits. Transaction 1 General Journal Debit Credit
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Transcribed Image Text:The information that follows pertains to Esther Food Products:
a. At December 31, 2024, temporary differences were associated with the following future taxable (deductible) amounts:
Depreciation
Prepaid expenses
Warranty expenses
$ 52,000
22,000
(19,000)
b. No temporary differences existed at the beginning of 2024.
c. Pretax accounting income was $74,000 and taxable income was $19,000 for the year ended December 31, 2024.
d. The tax rate is 25%.
Required:
Complete the following table given below and prepare the appropriate journal entry to record income taxes for 2024.
Complete this question by entering your answers in the tabs below.
Calculation
General
Journal
Complete the following table given below to record income taxes for 2024.
Note: Amounts to be deducted should be entered with a minus sign.
Description
Pretax accounting income
Permanent differences
Income subject to taxation
Temporary Differences
Income taxable in current year
Calculation
General
Journal
Amount
Tax Rate
$
74,000
x
x
Tax
Recorded as:
< Calculation
General Journal >
Prepare the appropriate journal entry to record income taxes for 2024.
Note: If no entry is required for a transaction/event, select "No journal entry required" in the first ac
View transaction list
Journal entry worksheet
<
1
Record 2024 income taxes.
Note: Enter debits before credits.
Transaction
1
General Journal
Debit
Credit
Record entry
Clear entry
View general journal
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