The Books of the Speedster Company for the Year Ended

question 74

Multiple Choice

The books of the Speedster Company for the year ended December 31,2014,showed pretax income of $295,000.In computing the taxable income for federal income tax purposes,the following timing differences were taken into account:
Depreciation deducted for tax purposes in excess of
Depreciation recorded on the books ...................
$14,500
Income from installment sale reportable for tax purposes
In excess of income recognized on the books ..........
11,500
What should Speedster record as its current federal income tax liability at December 31,2014,assuming a corporate income tax rate of 30 percent?

• A)$80,700
• B)$84,700
• C)$87,600
• D)$89,400

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Definitions:

Leadership Prototypes

Refers to commonly held mental images or expectations about the key characteristics, behaviors, and roles of leaders in various contexts.

Preconceptions

Pre-existing beliefs or opinions formed before having adequate evidence or experience, often influencing how new information is interpreted.

Leadership Prototypes

Preconceived notions or expectations about the qualities or behaviors that characterize an effective leader within a specific cultural or organizational context.

Preconceived Beliefs

Assumptions or convictions formed before having the evidence for their truth or usefulness, often influencing perception and decision-making.