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A net operating loss carryoverforward that occurs in a companys second year of operations May cause a company to report a tax benefit in the

A net operating loss carryoverforward that occurs in a companys second year of operations

May cause a company to report a tax benefit in the current period income statement.

Has no effect on income tax expense of the current period because no taxes are paid.

Causes a company to report a deferred income tax liability for taxes that are not paid currently.

Results in future taxable amounts.

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