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Please help with the attached accounting question. Four independent situations are described below. Each involves future deductible amounts and/or future taxable amounts produced by temporary
Please help with the attached accounting question.
Four independent situations are described below. Each involves future deductible amounts and/or future taxable amounts produced by temporary differences: ($ in thousands) Situation 1 Tax able inco me Fut ure dedu ctibl e amo unts Fut ure taxab le amo unts Bal ance( s) at begi nnin g of the year: D eferr ed tax asset D eferr ed tax liabil ity 2 $ 3 85 4 $ 215 2 2 20 15 30 9 15 $ 260 20 15 $ 195 4 2 The enacted tax rate is 40%. Required: For each situation, determine the following: (Enter amounts as positive values in parts a, b, d and f. In parts c and e, enter the amount as positive if it is an increase and with a minus sign if it is a decrease. Leave no cells blank - be certain to enter "0" wherever required. Enter your answers in thousands.) Situation 1 a. Income tax payable currently b. Deferred tax assetbalance c. Deferred tax assetchange Deferred tax liability d. balance Deferred tax liability e. change f. Income tax expense 2 3 4 $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $Step by Step Solution
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