1. Income taxes:
   1. Calculate the income tax rate based on the income statement.
   2. What does this mean if the statutory rate is 38%?
   3. What does it mean to have a temporary difference?
   4. What types of permanent differences does COMPANY NAME have?
   5. Does COMPANY NAME have any losses available to carry forward to future years? If so, how much are they?
   6. What future tax assets does COMPANY NAME have?
   7. Do future tax assets increase or decrease income tax expense when they reverse?
   8. What future tax liabilities does COMPANY NAME have?
   9. Do future tax liabilities increase or decrease income tax expense when they reverse?