Which of the Following Items Indicate That a Company Does

question 43

Multiple Choice

Which of the following items indicate that a company does not need a valuation allowance?

• A) existing sales contracts that will produce sufficient income to realize the deferred tax asset
• B) excess of appreciated asset value over tax basis sufficient to realize the deferred tax asset
• C) a strong history of earnings without considering the deferred tax asset
• D) All of the above are correct.

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Definitions:

Cardiac Arrest

A sudden loss of heart function, leading to the cessation of effective blood circulation and requiring immediate medical attention.

Responsiveness

The quality of reacting quickly and positively to stimuli or changes, often used in contexts ranging from individual behaviors to system performance.

Blood Pressure

The force exerted by circulating blood upon the walls of blood vessels, often measured as an indicator of cardiovascular health.

Arteriosclerosis

A condition characterized by the thickening, hardening, and loss of elasticity of the walls of arteries.