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Business, 30.07.2019 01:10 JAYDENJONES0111

For calendar year 1, clark corp. reported depreciation of $300,000 in its income statement. on its year 1 income tax return, clark reported depreciation of $500,000. clark’s income statement also included $50,000 of accrued warranty expense that will be deducted for tax purposes when paid. applicable enacted tax rates are 30% for year 1 and year 2, and 25% for year 3 and year 4. the depreciation difference and warranty expense will reverse over the next 3 years as follows: depreciation warranty difference expense year 2 $ 80,000 $10,000 year 3 70,000 15,000 year 4 50,000 25,000 $200,000 $50,000 these were clark’s only temporary differences. in clark’s year 1 income statement, the deferred portion of its provision for income taxes should be

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For calendar year 1, clark corp. reported depreciation of $300,000 in its income statement. on its y...
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