Permanent Differences (Between Revenues and Expenses for Accounting and Tax

question 4

Multiple Choice

Permanent differences (between revenues and expenses for accounting and tax purposes) :

• A) can cause Deferred Tax Liabilities but not Deferred Tax Liabilities to arise
• B) can cause both Deferred Tax Assets and Deferred Tax Liabilities to arise
• C) can cause Deferred Tax Assets but not Deferred Tax Liabilities to arise
• D) can cause neither Deferred Tax Assets nor Deferred Tax Liabilities to arise

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Definitions:

State Project

Initiatives or programs undertaken by a government or public sector entity designed to achieve specific objectives, often relating to infrastructure, social, or economic development.

Public Good

A good that is non-excludable and non-rivalrous, meaning no one can be excluded from its use and one person's use does not reduce availability to others.

Total Benefits

In economics, the complete gain or value received from consuming a good or service, including both direct and indirect benefits.

Total Costs

The complete sum of all expenses incurred by a company in producing and marketing a product or service.