There Is No Recognition of a Deferred Tax Item in Respect

question 24

Multiple Choice

There is no recognition of a deferred tax item in respect to goodwill because it is a residual amount and the recognition of a deferred tax item would:

• A) decrease the carrying amount of goodwill.
• B) increase the carrying amount of goodwill.
• C) decrease the profit on consolidation.
• D) increase the profit on consolidation.