Can someone explain to me what I did wrong as my net income doesnt equal taxable income. Or am i already correct?
Edit: Sorry if it wasnt clear. The question was to find the net income on the first picture based on the second pictures information. I have answered it and was wondering if someone could check if i did it correctly.
Computation of A's taxable income
Particulars
net income per books $104000
Add:
book depreciation in excess of allowable depreciation $2000
accrued federal income tax $35000
net capital loss $4000
Less:
tax exempt interest $5000
A's taxable income $140000
Notes:
Can someone explain to me what I did wrong as my net income doesnt equal taxable...
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