26. Which of the following differences would result in future taxable amounts? * a. Expenses and losses that are O deductible after they are recognized in financial income. b. Revenues or gains that are O taxable before they are recognized in financial income. c. Expenses or losses that are O deductible before they are recognized in financial income. d. Revenues or gains that are recognized in financial income but are never included in taxable income.

26. Which of the following differences would result in future taxable amounts? * a. Expenses and losses that are O deductible after they are recognized in financial income. b. Revenues or gains that are O taxable before they are recognized in financial income. c. Expenses or losses that are O deductible before they are recognized in financial income. d. Revenues or gains that are recognized in financial income but are never included in taxable income.

SWFT Corp Partner Estates Trusts

42nd Edition

ISBN:9780357161548

Author:Raabe

Publisher:Raabe

Chapter5: Corporations: Earnings & Profits And Dividend Distributions

Section: Chapter Questions

Problem 28P

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26. Which of the following differences would result in future taxable amounts? * a. Expenses and losses that are deductible after they are recognized in financial income. b. Revenues or gains that are taxable before they are recognized in financial income. c. Expenses or losses that are deductible before they are recognized in financial income. d. Revenues or gains that are recognized in financial income but are never included in taxable income.
1. Which of the following differences would result in future taxable amounts? a. Revenues or gains that are taxable before they are recognized in financial income. b. Expenses or losses that are deductible after they are recognized in financial income. c. Expenses or losses that are deductible before they are recognized in financial income. d. Revenues or gains that are recognized in financial income but are never included in taxable income. 2. If a company constructs a laboratory building to be used as a research and development facility, the cost of the laboratory building is matched against earnings as a. research and development expense in the period(s) of construction. b. depreciation deducted as part of research and development costs. c. depreciation or immediate write-off depending on company policy. d. an expense at such time as productive research and development has been obtained from the facility. 3. How should research and development costs be accounted for, according…
Which of the following items affect taxable income? Select one or more: a. Realized Gains and Losses b. Unrealized Gains and Losses c. Interest Income PreviousSave AnswersFinish attempt ...
When the temporary differences result to financial income higher than taxable income, they are known as taxable temporary difference or future deductible amounts. a. TRUE b. FALSE
To arrive at the accumulated taxable income, which of the following items does not represent a positive adjustment? A. Capital loss carryovers В. Net operating loss deduction С. Capital losses in excess of capital gains D. Dividends received deduction
1. A temporary difference arises when an element of income is reported for tax purposes in the period: a. After it is reported in financial income and before it is reported in financial income. b. After that is reported in financial income. c. Before it is reported in financial income. d. It will have no effect on the taxable amounts.
Which of the following is true? Non-deductible expense is deducted to financial income in computing taxable income. Deductible temporary differences are deducted to financial income in computing taxable income. Non-taxable income is added to financial income in computing taxable income. Taxable temporary differences are deducted to financial income in computing taxable income.
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Which of the following may not form part of the regular itemized deductions from the gross income? * Allowance for depreciation under cash basis Repairs and maintenance Losses NOLCO None of the above
2. Which of the following situations will result in a future deductible amount? Carrying amount of the asset > tax base of the asset Tax base of the asset > carrying amount of the asset Carrying amount of the liability < tax base of the liability Financial income > Taxable income
An unused tax loss will arise when: a. Expenses deductible for tax purposes are less than the taxable income b. Expenses deductible for tax purposes exceeds the taxable income. c. Expenses deductible for tax purposes are equal to the taxable income d. Expenses deductible for tax purposes do not exist.
Which of the following would not usually be treated as a reconciling item in taxable income and accounting income?