A deferred tax asset can be recognized when it is: O Greater than a deferred tax liability and so the net amount is a liability. Probable that it will be realized. Less than a deferred tax liability so the net amount is an asset When it arises due to a permanent difference. When a company records its convertible bonds issued at FVTPL, then in determining the diluted EPS the numerator is adjusted for: ho After tax interest paid only After-tax changes in fair value and after-tax interest paid After-tax changes in fair value and after-tax interest expense After-tax gains on fair value changes and after tax interest expense