Question: The cumulative temporary difference to date is $60 million (also the future taxable amount. The enacted tax rate is 40%, what deferred tax asset or

The cumulative temporary difference to date is $60 million (also the future taxable amount. The enacted tax rate is 40%, what deferred tax asset or liability to be reported in the balance sheet?

Pretax accounting income Permanent difference Temporary difference Taxable income ($ in millions)

$500 456 (38) $418

Pretax accounting income Permanent difference Temporary difference Taxable income ($ in millions) $500 456 (38) $418

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