Income tax expense and the related income tax payable are typically accrued as the final adjusting entry of the period.

Question

Quizplus · Accepted Answer

Income tax expense and income tax payable are typically accrued as the final adjusting entry of the period to ensure that the financial statements reflect the correct amount of tax liability for the period. This is done in accordance with generally accepted accounting principles (GAAP).

Income Tax Expense and the Related Income Tax Payable Are