For Its First Year of Operations, Tringali Corporation's Reconciliation of Pretax

question 133

Multiple Choice

For its first year of operations, Tringali Corporation's reconciliation of pretax accounting income to taxable income is as follows: Tringali's tax rate is 40%. What should Tringali report as its deferred income tax liability as of the end of its first year of operations?

• A)$35,000.
• B)$20,000.
• C)$14,000.
• D)$8,000.

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Definitions:

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Probability distribution for a variable before adjusting for empirical evidence on its likely value.

Black-Litterman Model

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The examination and evaluation of various factors affecting the value of securities to make investment recommendations.