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Cufflinks, an outstanding house for tailored suits, has always had satisfied customers owing to their ingenuity in facilitating top fashion trends. It is innovative in adapting to changing vogues and demands of its customers. Through which of the following ways does Cufflinks gain a competitive advantage?
GAAP
Generally Accepted Accounting Principles - a collection of commonly-followed accounting rules and standards for financial reporting.
Deferred Income Taxes
Taxes that are accrued but not yet paid or collected, often due to differences in accounting methods between tax regulations and accounting principles.
Valuation Allowance
A reserve established against deferred tax assets to reduce their value to an amount that's more likely than not to be realized.
Income Tax Obligation
The amount of money a person or entity is legally required to pay to the government based on their taxable income.
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