Deferred Tax Assets The company invested $5,600 in a mutual fund on August 1. By December 31,

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Deferred Tax Assets The company invested $5,600 in a mutual fund on August 1. By December 31, the value of the mutual fund had declined to $3,900, and the company did not sell any portion of the mutual fund during the year. The company’s income tax rate is 25%. Prepare the journal entry necessary to record the deferred income tax asset.

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