When accounting standards require recognition of an expense that is not permitted under tax laws, the result

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When accounting standards require recognition of an expense that is not permitted under tax laws, the result is a:

A. deferred tax liability.

B. temporary difference.

C. permanent difference.

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International Financial Statement Analysis CFA Institute Investment Series

ISBN: 9780470287668

1st Edition

Authors: Thomas R. Robinson, Hennie Van Greuning CFA, Elaine Henry, Michael A. Broihahn, Sir David Tweedie

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Question Posted: Feb 14, 2024 08:41 AM

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When accounting standards require recognition of an expense that is not permitted under tax laws, the result

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The correct answer is A Deferred Tax Liability This situation describes a timing difference between ...View the full answer

International Financial Statement Analysis CFA Institute Investment Series

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