Interim tax
The estimated and actual pretax incomes of Ent Corporation by quarter for 2011 were as follows:
|
1st Quarter |
2nd Quarter |
3rd Quarter |
4th Quarter |
|
|
Estimated pretax income |
$30,000 |
$30,000 |
$40,000 |
$50,000 |
|
Actual pretax income |
30,000 |
40,000 |
40,000 |
40,000 |
Ent calculated its estimated annual effective income tax rate to be 27.8333 percent, based on estimated pretax income and existing income tax rates.
REQUIRED: Prepare a schedule to calculate Ent Corporation’s net income by quarter.