Question: A major distinction between temporary and permanent differences is once an item is determined to be a temporary difference, it maintains that status; however, a
A major distinction between temporary and permanent differences is
once an item is determined to be a temporary difference, it maintains that status; however, a permanent difference can change in status with the passage of time.
temporary differences occur frequently, whereas permanent differences occur only once.
temporary differences reverse themselves in subsequent accounting periods, whereas permanent differences do not reverse.
permanent differences are not representative of acceptable accounting practice.
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