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Which of the following statements regarding permanent differences is not true A) A permanent difference never reverses B) Considering only permanent differences, income tax expense

Which of the following statements regarding permanent differences is not true

A) A permanent difference never reverses

B) Considering only permanent differences, income tax expense on the income statement would equal income taxes on the tax return

C) Corporate bond interest revenue is an example of a permanent difference.

D) The effective tax rate often differs from the statutory tax rate due to permanent differences

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