Rainbow co. began operations in 2019 and reported $600,000 in income before income taxes for the year. rainbow’s 2019 tax depreciation exceeded its book depreciation by $80,000. rainbow also had nondeductible book expenses of $30,000 related to permanent differences. rainbow’s tax rate for 2019 was 25%, and the enacted rate for years after 2019 is 30%. in its december 31, 2019, balance sheet, what amount of deferred income tax liability should rainbow report?

Frost corporation incurred the following transactions during its first year of operations. (assume all transactions involve cash.) 1) acquired $1,900 of capital from the owners. 2) purchased $435 of direct raw materials. 3) used $290 of these direct raw materials in the production process. 4) paid production workers $490 cash. 5) paid $290 for manufacturing overhead (applied and actual overhead are the same). 6) started and completed 250 units of inventory. 7) sold 140 units at a price of $6 each. 8) paid $130 for selling and administrative expenses. the amount of raw material inventory on the balance sheet at the end of the accounting period would be: