Use the Following Information for Questions

question 53

Multiple Choice

Use the following information for questions.
At the beginning of 2010; Elephant, Inc.had a deferred tax asset of $4,000 and a deferred tax liability of $6,000.Pre-tax accounting income for 2010 was $300,000 and the enacted tax rate is 40%.The following items are included in Elephant's pre-tax income:

-Which of the following is required to adjust Elephant, Inc.'s deferred tax asset to its correct balance at December 31, 2010?

• A)A debit of $20,800
• B)A credit of $15,200
• C)A debit of $15,200
• D)A debit of $16,800

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Definitions:

Avoiding

A conflict management strategy where individuals or parties choose to sidestep or withdraw from a conflict situation.

Interpersonal Conflict Management

The process of identifying and handling conflicts in a constructive manner between individuals.

Pooled Interdependence

A work scenario where different departments or groups contribute independently to a common outcome.

Reciprocal Interdependence

A mutual reliance among members of a group, organization, or system where the actions of one entity directly affect the outcomes of others.