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Harrison Corporation reported pretax book income of $825,000. Tax depreciation exceeded book depreciation by $560,000. In addition, the company received $315,000 of tax-exempt municipal bond
Harrison Corporation reported pretax book income of $825,000. Tax depreciation exceeded book depreciation by $560,000. In addition, the company received $315,000 of tax-exempt municipal bond interest. The companys prior-year tax return showed taxable income of $25,000. Assuming a tax rate of 21 percent, compute the companys deferred income tax expense or benefit.
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