Illustrates how to account for income taxes. It primarily demonstrates three income tax issues, including temporary difference, permanent difference, and operating loss carryforwards.

Explains the nature of Income Tax differences.

Write a paragraph to explain why the income tax difference exists?

How the temporary difference happens. It also explains the conceptual framework about how to account for deferred tax assets and deferred tax liabilities.

Can all temporary differences be reversed in the future? Why? Write a paragraph

The six-step approach to account for deferred tax assets and deferred tax liability. The content of this video is highly related to the computation questions in this chapters homework.

Explains how the permanent difference happens. It also demonstrates how to account for the permanent difference.

Question 3: Do we account for the permanent difference by using the deferred tax assets and deferred tax liability accounts? Why? Write a paragraph