Assume that Betamax Inc. on December 31, 2019, carried balances in the following three accounts as stated below. The tax rate is 40%.

Capital Assets $2,304,000 [UCC Balance $3,828,000]; reversible over the next 10 years;

Warranty Liability $237,000 reversible when the liability is settled.

Installment Sales $ 48,000 reversible equally over the next two years.

If Betamax reported under IFRS, how would the Deferred Tax Asset/Liability be reported?

Select one:

a.

$609,600 as a Long Term Liability; $94,800 as a Current Asset; and $19,200 as a Current Liability.

b.

$609,600 as a Long Term Asset; $94,800 as a Current Asset; and $19,200 as a Current Liability.

c.

$609,600 as a Long Term Liability; $75,600 as a Current Asset.

d.

$685,200 as a Long Term Asset.

e.

Cannot be determined from the given data.