Question
Select if statement is True or False True False a. Any excess foreign tax credits can be carried back 1 year or carried forward for
Select if statement is True or False
True
False
a. Any excess foreign tax credits can be carried back 1 year or carried forward for 10 years.
b. A US Company has the option between deducting any foreign taxes paid to calculate its taxable income or using the credit approach.
c. For foreign tax credit purposes, the credit approach will always provide a lower US tax liability.
d. The income of a foreign branch is taxed when earnings are repatriated to the parent company.
e. A Company must always use the comparable uncontrolled price when computing the value for intercompany transactions.
Select the accounting standard(s), if any, that the following accounting treatments are acceptable:
Acceptable under
IFRS
U.S.GAAP
Both
Neither
f. Inventory is recorded at the lower of cost or market
g. The compensation cost associated with graded vesting stock options is amortized to expense on a straight-line basis over the vesting period.
h. A contingent liability with a 60% likelihood of payment is recorded at the low end of range of likely outcomes.
i.Constructive obligations, contingent upon a future event are recognized as liabilities when certain criteria are met.
j.Deferred taxes are classified a non-current asset or liability.
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