Temporary Differences That Will Cause Taxable Income in Future Periods

question 105

Multiple Choice

Temporary differences that will cause taxable income in future periods to be higher than book income in future periods give rise to

• A)deferred tax assets.
• B)deferred tax liabilities.
• C)permanent differences.
• D)tax refund receivable.

---

Definitions:

Fastener

A hardware device that mechanically joins or affixes two or more objects together.

Arrowheads

Styled points at the end of dimension lines or leader lines on a drawing, indicating the feature to which the dimension or note refers.

Cutting-plane Lines

Lines on a drawing indicating the imaginary cut made through a part or assembly to reveal internal features in a sectional view.

Quarter Section

A method of dividing a piece of land into four equal parts in land surveying; also indicative of a technique in illustration where a portion is removed to reveal internal features.