Under the Accrual Method,what Is the Effect of the Tax

question 6

Multiple Choice

Under the accrual method,what is the effect of the tax rate change in F2014? $$\begin{array} { | l | r | r | r | } \hline & \text { F2013 } & \text { F2014 } & \text { F2015 } \\\hline \text { Deferred tax liability } & 30,000 & & \\\hline \text { Revenue } & & 130,000 & 150,000 \\\hline \text { Taxable income } & & 95,000 & 105,000 \\\hline \text { Tax rate } & 30 \% & 35 \% & 35 \% \\\hline\end{array}$$

• A)Increase of 5,000.
• B)Decrease of 5,000.
• C)Increase of 27,500.
• D)Decrease of 27,500.

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Definitions:

Object-oriented Design

A programming philosophy based on the concept of "objects," which are data structures encapsulating data and functions.

Verbs

Words that express actions or states of being.

Objects

Instances of classes that encapsulate data and functionality, acting as the basic building blocks of object-oriented programming.

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An interface in Java that listens for action events, such as button presses, allowing classes to react to user interactions.