If during the current year, taxable profit is greater than accounting profit and the difference is a temporary difference, a deferred tax liability is recognized at the end of the current year. a deferred tax liability will be recognized in future years. deferred tax asset will be recognized in future years. a deferred tax asset is recognized at the end of the current year.
If during the current year, taxable profit is greater than accounting profit and the difference is a temporary difference, a deferred tax liability is recognized at the end of the current year. a deferred tax liability will be recognized in future years. deferred tax asset will be recognized in future years. a deferred tax asset is recognized at the end of the current year.
Chapter14: Taxes On The Financial Statements
Section: Chapter Questions
Problem 36P
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If during the current year, taxable profit is greater than accounting profit and the difference is a temporary difference,
a deferred tax liability is recognized at the end of the current year.
a deferred tax liability will be recognized in future years.
a deferred tax asset is recognized at the end of the current year.
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