Apple reports the following information: Taxable Income: 300,000 Pretax Accounting Income: 400,000 A single temporary difference exists
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Question:
Apple reports the following information:
Taxable Income: 300,000
Pretax Accounting Income: 400,000
A single temporary difference exists that was new in the current year. Apple is subject to a tax rate of 40%.
On the year-end balance sheet for Apple, you would find:
Question options:
A deferred tax asset for $40,000. | |
A deferred tax liability for $40,000 | |
A deferred tax liability for $120,000. | |
Income taxes payable for $160,000. |
Related Book For
Intermediate Accounting
ISBN: 978-0324300987
10th Edition
Authors: Loren A Nikolai, D. Bazley and Jefferson P. Jones
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