Which of the Following Items Will Not Create a Deferred

question 106

Multiple Choice

Which of the following items will not create a deferred tax liability?

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