Assuming that Wal-Mart had no significant permanent differences between book income and taxable income, did income before taxes for financial reporting exceed or fall short of taxable income for year ended 2012, 2013 and 2014? Explain.

b. Will the adjustment to net income for deferred taxes to compute cash flow from operations in the statement of cash flows result in an addition or a subtraction for 2012, 2013 and 2014?

c. The company's accrued liabilities include accrued wages, self-insurance, accrued taxes, accrued utilities, and accrued interest etc. Why are deferred taxes related to accrued liabilities disclosed as a deferred tax asset instead of a deferred tax liability?

d. Why are deferred taxes related to share-based compensation disclosed as a deferred tax asset?

e. Like most companies, Wal-Mart uses the straight-line depreciation method for financial reporting and accelerated depreciation methods for income tax purposes. Why are deferred taxes related to depreciation disclosed as a deferred tax liability?