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Alvis Corporation reports pretax accounting income of $380,000, but due to a single temporary difference, taxable income is only $235,000. At the beginning of the

Alvis Corporation reports pretax accounting income of $380,000, but due to a single temporary difference, taxable income is only $235,000. At the beginning of the year, no temporary differences existed. Required: 1. Assuming a tax rate of 25%, what will be Alviss net income? 2. What will Alvis report in the balance sheet pertaining to income taxes?

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