Question
At December 31, 2017, Nash Corporation had an estimated warranty liability of $84,000 for accounting purposes and $0 for tax purposes. (The warranty costs are
At December 31, 2017, Nash Corporation had an estimated warranty liability of $84,000 for accounting purposes and $0 for tax purposes. (The warranty costs are not deductible until paid.) The effective tax rate is 30%. Compute the amount Nash should report as a deferred tax asset at December 31, 2017.
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Company Accounting
Authors: Ken Leo, Jeffrey Knapp, Susan Mcgowan, John Sweeting, Leah Meng
12th Edition
0730382672, 9780730382676
