A reconciliation of Gentry Company's pretax accounting income with its taxable income for 2014, its first year of operations, is as follows: The excess tax depreciation will result in equal net taxable amounts in each of the next three years. Enacted tax rates are 40% in 2014, 35% in 2015 and 2016, and 30% in 2017. The total deferred tax liability to be reported on Gentry's balance sheet at December 31, 2014, is

Question

A reconciliation of Gentry Company's pretax accounting income with its taxable income for 2014, its first year of operations, is as follows:  The excess tax depreciation will result in equal net taxable amounts in each of the next three years. Enacted tax rates are 40% in 2014, 35% in 2015 and 2016, and 30% in 2017. The total deferred tax liability to be reported on Gentry's balance sheet at December 31, 2014, is

Quizplus · Accepted Answer

The Answer of A reconciliation of Gentry Company's pretax accounting income with its taxable income for 2014, its first year of operations, is as follows:  The excess tax depreciation will result in equal net taxable amounts in each of the next three years. Enacted tax rates are 40% in 2014, 35% in 2015 and 2016, and 30% in 2017. The total deferred tax liability to be reported on Gentry's balance sheet at December 31, 2014, is

A Reconciliation of Gentry Company's Pretax Accounting Income with Its