Question
DSilva Limited has a product warranty liability amounting to $10,000. The product warranty costs are not tax deductible until paid out to customers. The company
DSilva Limited has a product warranty liability amounting to $10,000. The product warranty costs are not tax deductible until paid out to customers. The company tax rate is 30%. The company has:
| A taxable temporary difference of $10,000. |
| A tax base of $10,000. |
| A deductible temporary difference of $10,000. |
| A future deductible amount of $0. |
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Focus On Personal Finance
Authors: Jack R. Kapoor, Les R. Dlabay Professor, Robert J. Hughes, Melissa Hart
5th Edition
0077861744, 978-0077861742
