How much tax would be reported under the taxes payable method for F2014? $$\begin{array} { | l | r | r | r | }
\hline & \text { F2013 } & \text { F2014 } & \text { F2015 } \
\hline \text { Income before tax } & 120,000 & 110,000 & 120,000 \
\hline \text { Taxable income } & 85,000 & 95,000 & 105,000 \
\hline \text { Tax rate } & 30 \% & 25 \% & 30 \% \
\hline
\end{array}$$

Question

How much tax would be reported under the taxes payable method for F2014? $$\begin{array} { | l | r | r | r | } 
\hline & \text { F2013 } & \text { F2014 } & \text { F2015 } \
\hline \text { Income before tax } & 120,000 & 110,000 & 120,000 \
\hline \text { Taxable income } & 85,000 & 95,000 & 105,000 \
\hline \text { Tax rate } & 30 \% & 25 \% & 30 \% \
\hline
\end{array}$$

Quizplus · Accepted Answer

The tax payable for F2014 is calculated by multiplying the taxable income by the tax rate: 95,000 * 25% = 23,750.

How Much Tax Would Be Reported Under the Taxes Payable