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Asset/Liability Method
An accounting technique used for measuring the deferred tax liabilities and assets by considering the temporary differences between the accounting and tax values of assets and liabilities.
Deferred Tax Liability
A tax obligation that a company owes but is not required to pay until a future date, often due to timing differences between accounting practices and tax laws.
Pretax Financial Income
The amount of income that a company has earned before any taxes have been deducted.
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