Question
For the following 14 items please indicate whether it is a permanent or temporary difference and whether it creates a deferred tax asset (DTA) or
For the following 14 items please indicate whether it is a permanent or temporary difference and whether it creates a deferred tax asset (DTA) or deferred tax liability (DTL)
| Permanent (P) or Temporary Difference (T) | DTA or DTL |
Municipal Bond Interest |
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First Year Additional Depreciation |
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Warranty accruals |
|
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Public Company executive compensation in excess of $1 million |
|
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Government imposed penalties and fines |
|
|
Reserve for doubtful account receivables |
|
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Entertainment expenses |
|
|
Capital losses |
|
|
Limitation on corporate interest expense |
|
|
Meal expenses |
|
|
Net Operating Losses |
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|
Amortization of goodwill (assume book and tax basis are the same) |
|
|
Foreign Derived Intangible Income (FDII) special deduction |
|
|
General Business Credit for increasing research activities |
|
|
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