80.2K
Verified Solution
Link Copied!
TRUE OR FALSE
1)A change in accounting method does not require consideration of the income tax impact if it only
increases or decreases deferred tax assets/liabilities (True / False)
2)Deferred taxes are recorded to account for permanent differences (True / False)
3)An increase in the Deferred Tax Liability account on the balance sheet is recorded by a DEBIT to the
Income Tax Expense account (True / False).
4)A valuation account is needed whenever it is judged to be more likely than not a deferred tax liability will
not be realized (True / False)
5)A change in calculation of deferred taxes due to a change in enacted tax rates is considered a change in
accounting estimate and corrected prospectively
(True / False)
Answer & Explanation
Solved by verified expert
