Kellman Jerkirer Inc. has a December 31 year-end. The local municipality billed the entire 2022 property taxes of $20,000 on April 1, 2022. Kellman paid $4,000 of the 2022 property taxes on May 31, 2022. Required: Calculate the balance of the property tax payable or prepaid property tax account as at May 31, 2022.$fill in the blank 1

Kellman Jerkirer Inc. has a December 31 year-end. The local municipality billed the entire 2022 property taxes of $20,000 on April 1, 2022. Kellman paid $4,000 of the 2022 property taxes on May 31, 2022. Required: Calculate the balance of the property tax payable or prepaid property tax account as at May 31, 2022.$fill in the blank 1

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter9: Current Liabilities And Contingent Obligations

Section: Chapter Questions

Problem 3RE: Cee Co.s fiscal year begins April 1. At the beginning of its fiscal year, Cee Co. estimates that...

See similar textbooks

Similar questions

On January 1, 2019, Kunto, a cash basis taxpayer, pays 46,228 for a 24-month certificate. The certificate is priced to yield 4% (the effective interest rate) with interest compounded annually. No interest is paid until maturity, when Kunto receives 50,000. In your computations: a. Compute Kuntos gross income from the certificate for 2019. b. Compute Kuntos gross income from the certificate for 2020. Round any amounts to the nearest dollar.
Cee Co.s fiscal year begins April 1. At the beginning of its fiscal year, Cee Co. estimates that it will owe 17,400 in property taxes for the year. On June 1, its property taxes are assessed at 17,000, which it pays immediately. Prepare the related journal entries for April 1, May 1, and June 1. Then compute the monthly property tax expense that Cee Co. would record during June through March.
Lassoo Engineering Ltd. has a December 31 year-end. The company incurred property taxes of $10,000 for 2022. At year-end the company paid $7,500 to the municipal government for 2022 property taxes. Required: Prepare the journal entries at December 31 to record property tax expense for 2022 and the payment of 2022 property taxes. (1) 2022 (Record property tax liability) (2) 2022 (Record property tax payment)
for calender year 2020, power inc. had net income before income taxes in the amount of $10,000. Tax rates are 20% Federal, 9% NY State, and 8% NY City . Wowee adjusts its books annually. A. Prepare the AJE, if any, on 12/31/20. B. Record the payment of the taxes on 3/15/21
Accounting for personal income taxes Prepare journal entries to record these transactions and events. 1. During 2022 Leavitt County collected personal income taxes in the amount of $3,200,000 as a result of withholdings by employers and payments of estimated taxes by taxpayers for 2022. 2. At year-end Leavitt County's Finance Director estimated that, by April 15, 2023 (when taxpayers are required to file their final tax returns for 2022), taxpayers will make payments of $175,000 with their tax returns and request refunds of $320,000. 3. The Finance Director also estimated that late filers will pay $45,000 of taxes applicable to 2022 when they ultimately file their tax returns. Leavitt County's written policy regarding personal income taxes is to consider only payments received with final returns by April 15 as "available." Account Debit Credit 1. Cash 3,200,000 Revenues - income taxes 3,200,000 To record taxes collected in 2022. 2. Deferred inflow of resources - income taxes 175,000…
Assume that Shoreline Hotel Inc., (SHI) decides to make the following entry on December 31, 2018. Current tax rate is 40%. DR Current income tax expense $634,800 CR Income tax payable $634,800 This would imply that Select one: a. the taxable income for 2018 was different than the accounting income. b. the income tax expense reported by SHI on its income statement would be $750,000. c. the taxable income for 2018 was determined to be $1,587,000. d. All of the above. e. None of the above.
The Snella Company reports 2023 Pre-tax Net Income of $10,000. The following items exist: Municipal Bond Interest Revenue Fine paid to EPA Unearned Revenues $80 $200 $ 50 The tax rate is 20%. Indicate the amounts for 2023 Income Tax Expense and 12/31/23 Income Tax Payable, respectively. Select one: Oa. $2,064, $2,054 O b. $1,984, $1,954 O c. $1,984, $2,034 O d. $2,024, $2,014 Oe. $2,024, $2,034
Arndt, Inc. reported the following for 2021 and 2022 ($ in millions): 2021 2022 Revenues $ 888 $ 980 Expenses Pretax accounting income (income statement) Taxable income (tax return) 760 800 $ 128 $ 116 $ 180 $ 200 Tax rate: 25% a. Expenses each year include $30 million from a two-year casualty insurance policy purchased in 2021 for $60 million. The cost is tax deductible in 2021. b. Expenses include $2 million insurance premiums each year for life insurance on key executives. c. Arndt sells one-year subscriptions to a weekly journal. Subscription sales collected and taxable in 2021 and 2022 were $33 million and $35 million, respectively. Subscriptions included in 2021 and 2022 financial reporting revenues were $25 million ($10 million collected in 2020 but not recognized as revenue until 2021) and $33 million, respectively. Hint View this as two temporary differences-one reversing in 2021; one originating in 2021. d. 2021 expenses included a $14 million unrealized loss from reducing…
Arndt, Incorporated reported the following for 2024 and 2025 ($ in millions): Revenues. Expenses Pretax accounting income (income statement) Taxable income (tax return) Tax rate: 25% 2024 $888 760 $128 $116 a. Expenses each year include $30 million from a two-year casualty insurance policy purchased in 2024 for $60 million. The cost is tax deductible in 2024. Answer is complete but not entirely correct. Deferred tax amounts ($ in millions) Classification Net noncurrent deferred tax asset ✔ $ Net noncurrent deferred tax liability X $ 2025 $980 800 b. Expenses include $2 million insurance premiums each year for life insurance on key executives. c. Arndt sells one-year subscriptions to a weekly journal. Subscription sales collected and taxable in 2024 and 2025 were $33 million and $35 million, respectively. Subscriptions included in 2024 and 2025 financial reporting revenues were $25 million ($10 million collected in 2023 but not recognized as revenue until 2024) and $33 million,…
If a property transaction is scheduled to close on May 14. The purchase agreement states that the seller will be responsible for all taxes "through the date of closing, calculate the individual tax responsibility for the buyer if the total tax owed at the end of the year is $5,000. For this problem, assume that we are dealing with a 365-day calendar year. Ⓒ$0.00 $5,000,00 $1,835.61 O $3,164,38
Required Information The following Information applies to the questions displayed below.) Arndt, Inc. reported the following for 2021 and 2022 ($ in millions): 2021 2022 $1,024 844 Revenues Еxpenses Pretax accounting income (income statement) Taxable income (tax return) Tax rate: 25% $ 932 788 $ 144 $ 112 S 180 24 214 a. Expenses each year include $50 million from a two-year casualty insurance policy purchased in 2021 for $100 million. The cost is tax deductible in 2021. b. Expenses include $2 million insurance premiums each year for life insurance on key executives. C. Arndt sells one-year subscriptions to a weekly journal. Subscription sales collected and taxable in 2021 and 2022 were $51 million and $67 million, respectively. Subscriptions included in 2021 and 2022 financial reporting revenues were $45 million ($30 million collected in 2020 but not recognized as revenue until 2021) and $51 million, respectively. Hint View this as two temporary differences-one reversing in 2021; one…
Family Practice Associates has an estimated property tax liability of $7,200 assessed as of January 1, 2019, for the year May 1, 2019, to April 30, 2020. The property tax is paid on September 1, 2019. The property tax becomes a lien against the property on May 1. Required: 1. Prepare the necessary monthly journal entries to record the preceding information for the period from May 1 to September 30, 2019 (assuming actual taxes are the same as estimated). 2. What would be the amount of the liability on December 31, 2019?