A Deferred Tax Liability Can Be the Result of Both

question 50

True/False

A deferred tax liability can be the result of both timing and permanent differences between revenue recognition for tax and financial accounting.

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Definitions:

Lanugo

The fine, downy hair covering the fetus.

Vernix

The waxy substance that sometimes covers an infant at birth.

Gestation

Pregnancy.

Embryo

The early form of life in the uterus between the stages of blastocyst and fetus.