Which of the Following Book-Tax Basis Differences Results in a Deductible

question 64

Multiple Choice

Which of the following book-tax basis differences results in a deductible temporary difference?

• A) Book basis of a building exceeds the tax basis of the building.
• B) Book basis of an acquired intangible exceeds the tax basis of the intangible.
• C) Tax basis of a prepaid liability exceeds the book basis of the liability.
• D) Book basis of an employee post-retirement benefits liability exceeds its tax basis.