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Four independent situations are described below. Each involves future deductible amounts and/or future taxable amounts produced by temporary differences: (5 in thousands) Situation $ 85
Four independent situations are described below. Each involves future deductible amounts and/or future taxable amounts produced by temporary differences: (5 in thousands) Situation $ 85 15 2 $215 Taxable income Future deductible amounts Future tacable amounts Balance(s) at beginning of the year Deferred tax asset Deferred tax liability 3 $195 20 15 4 $ 260 20 30 15 2 2 4 2 The enacted tax rate is 40% Required: For each situation, determine the following: (Enter your answers in thousands.) Situation 1 2 4 a Income tax payable $ 34 $ 86 $ 78 $ 104 b. Deferred tax asset-balance $ 0 c. Deferred tax asse-change $ 0 d Deferred tax liability-balance 5 0 Deferred tax liability-change 5 0 1 income tax expense
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