Which of the Following Items Is Not a Temporary Difference

question 84

Multiple Choice

Which of the following items is not a temporary difference?

• A)Vacation pay accrued for tax purposes in a prior period is deducted in the current period.
• B)Tax depreciation for the period exceeds book depreciation.
• C)A goodwill impairment expense is recorded on the income statement; the goodwill did not have a tax basis when it was created.
• D)Bad debts charged off in the current period exceed the bad debts accrued in the current period.

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Definitions:

Arterioles

Small branches of arteries that lead to capillaries, playing a crucial role in regulating blood pressure and flow.

Muscular Layer

A layer of tissue composed of muscle fibers that can contract, found in various organs and structures in the body.

Blood Volume

The total amount of blood circulating within an organism's vascular system.

Atrium

Chamber; particularly an upper chamber of the heart, lying above a ventricle.