Using straight-line depreciation for financial reporting purposes and MACRS from purposes in the first year of an asset's life creates a: A. Deferred tax liability. B. Permanent difference not requiring interfered tax allocation C. Deferred tax asset. D. Future deductible amount. A deferred tax asset represents a: A. Future tax refund. B. Future cash collection. C. Future income tax benefit. D. Future amount of money to be paid out. Which of the following causes a permanent difference between taxable accounting income? A Interest craned on municipal securities. B. MACRS depreciation method used for equipment. C. The installment method used for sales of merchandise. D. Advance collections of revenues Which of the following circumstances creates a future deductible amount? A. Earning of non-taxable interest on municipal bonds. B. Accrued warranty expenses C. Prepaid operating expenses. D. Sales of property (installment method for tax purposes) Taxable income of a