Which of the Following Results in a Deferred Tax Asset

question 78

Multiple Choice

Which of the following results in a deferred tax asset?

• A) Revenue or gains are recognized earlier for book purposes than for tax purposes.
• B) Operating loss or tax credit carryforwards exist.
• C) Tax basis of an asset is less than its book.
• D) Expenses are deductible earlier for tax purposes than for book purposes.

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Definitions:

Union

An organization formed to protect and advance the interests of its members, typically regarding labour conditions, wages, and benefits.

Bargaining Zone

The range within which two parties in a negotiation are willing to compromise in order to reach an agreement.

Target Point

The desired outcome or goal that negotiators aim to achieve in a negotiation process.

Bargaining Zone

The range within which an agreement is satisfactory to both parties involved in a negotiation process.