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On its tax return at the end of the current year Webnet Inc. has $6 million of tax depreciation in excess of depreciation in its
On its tax return at the end of the current year Webnet Inc. has $6 million of tax depreciation in excess of depreciation in its income statement. A disclosure note reveals that $1 million of the $6 million difference will reverse itself next year, and the remainder will reverse over the next 4 years. In the absence of other temporary differences, in the balance sheet at the end of the current year Webnet would report: Multiple Choice Both a current deferred tax asset and a noncurrent deferred tax asset. A noncurrent deferred tax asset. Both a current deferred tax liability and a noncurrent deferred tax liability. A noncurrent deferred tax liability
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