An accrual-basis C corporation that prepared its financial statements based on GAAP recorded $800,000 of bad debt expense. The total amount of bad debts that actually became worthless was $930,000. In respect to bad debt expense, what type of disclosure should the corporation show on Schedule M-3

Question

isabellamarisol2311 isabellamarisol2311

03-01-2020
Business

contestada

An accrual-basis C corporation that prepared its financial statements based on GAAP recorded $800,000 of bad debt expense. The total amount of bad debts that actually became worthless was $930,000. In respect to bad debt expense, what type of disclosure should the corporation show on Schedule M-3

Respuesta :

Otras preguntas

what number should be added to both sides of the equation to complete the square? x2 8x = 4

hi can someone please help me with this I don't know if this is right

A serving of raisin bread has 3 grams of fat and 150 calories. What percent of calories are from fat? Remember, there are 9 calories per gram of fat.

Which polynomial is prime? 3x3 + 3x2 – 2x – 2 3x3 – 2x2 + 3x – 4 4x3 + 2x2 + 6x + 3 4x3 + 4x2 – 3x – 3

What was one change established by the British raj in India?

what does it mean to make connections when comparing and contrasting? you should look for hidden similarities and differences you should look for the most obvio

Cardiovascular disease relates to disorders of the heart, blood vessels, and lung function.

Why are government regulations on alcohol sales and consumption an example of environmental treatment strategies? A. They require individuals to make wise perso

Help me plzzzzzzz and do the same

Regarding the federal court system, which of the following statements is false? A. The Supreme Court hears most of the cases brought to it on appeal. B. Feder

shaikhrabi shaikhrabi · Answer 1 · 2020-01-03T14:43:56+01:00

Complete Question:

A.A permanent bad debt expense difference of $130,000.

B.A temporary difference in which book deductions exceed tax deductions by $130,000.

C.A temporary difference in which tax deductions exceed book deductions by $130,000.

D.No difference between bad debt expense per income statement and deduction per tax return.

Answer:

C.A temporary difference in which tax deductions exceed book deductions by $130,000.

Explanation:

As the book bad debt was $800,000 and the actual bad debt was $930,000. One can clearly see a difference of $130,000 and this is the amount which the book bad debt is increasing by. In this case of tax, bad debts becomes worthless in the year they are announced collectible.