Highland, Inc. has new management and wants to improve the balance sheet. They would like to not
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Highland, Inc. has new management and wants to improve the balance sheet. They would like to not accrue for bad debt since they are pretty sure there newest and most significant clients will all pay their bills. Explain both the GAAP and tax treatment of bad debts. Be sure to include an explanation of the booktaxdifference that might arise permanent or temporary Discuss how any differences will affect the companys current and deferred tax position. Develop a simple numerical example to include in the analysis portion of the memo if it will help illustrate your points.
Related Book For
Auditing Cases An Interactive Learning Approach
ISBN: 978-0132423502
4th Edition
Authors: Steven M Glover, Douglas F Prawitt
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