Dunn Co.’s year 1 income statement reported $90,000 income before provision for income taxes. To compute the provision for federal income taxes, the following year 1 data are provided:
Rent received in advance $16,000
Income from exempt municipal bonds 20,000
Depreciation deducted for income tax purposes in excess of depreciation reported for
financial statements purposes 10,000
Enacted corporate income tax rate 30%
If the alternative minimum tax provisions are ignored, what amount of current federal income tax liability should be reported in Dunn’s December 31, year 1 balance sheet?