What will be an ideal response?
Answer:
Deferred Tax Asset
117,360
Income Tax Benefit
117,360
Income Tax Benefit
27,360
Valuation Allowance
27,360*
*tax rate: 117,360 / 326,000 = 36%; (326,000 – 250,000) × 36%
What will be an ideal response?
Answer:
Deferred Tax Asset
117,360
Income Tax Benefit
117,360
Income Tax Benefit
27,360
Valuation Allowance
27,360*
*tax rate: 117,360 / 326,000 = 36%; (326,000 – 250,000) × 36%