Which of the following items are not included in the income tax note for a publicly traded company?
Question 19
North, Inc., earns book net income before tax of $ 500,000 in 2010. In computing its book income, North deducts $ 50,000 more in warranty expense for book purposes than allowed for tax purposes. North has no other temporary or permanent differences. Assuming the U. S. tax rate is 35 % and no valuation allowance is required, what is North ' s deferred income tax asset reported on its financial statements for 2010?
Question 20
Music, Inc., a domestic corporation, owns 100 % of Vinyl, Ltd., a foreign corporation and Digital, Inc., a domestic corporation. Music also owns 12 % of Record, Inc., a domestic corporation. Music receives no distributions from any of these corporations. Which of these entities ' net income are included in Music ' s income statement for current year financial reporting purposes?
Question 21
Nocera, Inc. earns book net income before tax of $ 600,000 in 2010. Nocera acquires a depreciable asset in 2010 and first year tax depreciation exceeds book depreciation by $ 120,000. Nocera has no other temporary or permanent differences. Assuming the U. S. tax rate is 35 %, what is Nocera ' s total income tax expense reported on its financial statements for 2010?
Question 22 Which of the following represent temporary book-tax differences? Question 23