Q12 Which of the following statements is correct? Deferred tax assets/liabilities are classified as noncurrent on...
Q12 Which of the following statements is correct?
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Deferred tax assets/liabilities are classified as noncurrent on the balance sheet. |
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The classification of deferred tax assets/liabilities depends on whether the related asset is current or noncurrent. |
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Deferred tax assets are classified based on their expected reversal dates. |
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Deferred tax assets/liabilities are always classified as current on the balance sheet. |
Homework Answers
Deferred Taxes Assets and liabilities can be either classified as either current or non-current. Hence, first option and second option is incorrect.
The second statement is correct. Based on the classification of the asset or liability that gave rise to the deferred tax asset or liability will be classified as per the classification of the relevant asset or liability.
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Q12 Which of the following statements is correct?
Deferred tax assets/liabilities are classified as noncurrent on...
15. Which of the following statements is correct? a. All current deferred tax liabilities and assets...
15. Which of the following statements is correct? a. All current deferred tax liabilities and assets shall be offset and presented as a single amount on the balance sheet. b. Deferred tax assets related to carryforwards shall be classified as current or noncurrent on the balance sheet based on their expected date of reversal. c. All current and noncurrent deferred taxes shall be offset and presented as a single amount on the balance sheet. d. Deferred tax liabilities and assets...
At December 31, 20X4, MJB Co. had the following deferred income tax items:
At December 31, 20X4, MJB Co. had the following deferred income tax items: • A deferred income tax liability of $15,000 related to a noncurrent asset • A deferred income tax asset of $3,000 related to a current liability • A deferred income tax liability of $8,000 related to a current asset Which of the following should MJB report in the noncurrent section(s) of its December 31, 20X4 balance sheet? Select one: a. DTL of $8,000 in Noncurrent Liabilities, DTA of $3,000 in Noncurrent Assets b. Net...
6) For reporting purposes, deferred tax assets and deferred tax labilities for the same company and...
6) For reporting purposes, deferred tax assets and deferred tax labilities for the same company and tax jurisdiction are: a. Reported separately in the balance sheet. b. Reflected only in the notes to the financial statements. C. Combined with noncurrent deferred tax assets and noncurrent deferred tax liabilities in the balance sheet to show a single net noncurrent among. d. Netted against one another and show as a net current asset or liability in the balance sheet. 7) of the...
General Question/Exercise 16-17 Deferred Tax Classification The company has the following balances in its deferred tax...
General Question/Exercise 16-17 Deferred Tax Classification The company has the following balances in its deferred tax asset and liability accounts at the end of 2019. Each tax asset or liability is related to a specific asset or liability account that gave rise to it. Account Balance Related Asset or Liability Deferred tax asset $ 25,600 Accounts receivable-current Deferred tax asset $ 18,400 Pension Liability-noncurrent Deferred tax liability $ 10,000 Installment sale-current Deferred tax liability $ 22,000 Property, plant, & Equipment-noncurrent...
Danna Spice Inc. has the following Deferred tax assets and liabilities. Deferred Tax Assets Deferred Tax...
Danna Spice Inc. has the following Deferred tax assets and liabilities. Deferred Tax Assets Deferred Tax Liabilities Allowance for bad debts $72,450 Depreciation (2,100,000) Reserve for warranties 90,300 Net Operating loss carry-forward 5,040 Deferred Compensation 252,000 Contributions carry-forward 0 Capital Loss carry-forward 0 Valuation allowance for deferred tax assets 0 Deferred tax assets, net of valuation allowance $419,790 Total Deferred Tax Liabilites $(2,100,000) What should Danna Spice Inc. recognize on the balance for these deferred tax assets and liabilities? a....
22) Moody Corporation recorded the following deferred tax assets and liabilities: What will be the balances...
22) Moody Corporation recorded the following deferred tax assets and liabilities: What will be the balances in the deferred tax asset and deferred tax liability accounts on Moody Corporation's balance sheet? S 500,000 Deferred tax assets related to U.S. operations (600,000 Deferred tax liabilities related to U.S. operations 800,000 Deferred tax assets related to Canadian operations (2,000,000 Deferred tax liabilities related to European operations Net deferred tax liabilities $ 1,300,000
At December 31, 2024 Hopper Corp. had the following deferred income tax items: Deferred tax asset...
At December 31, 2024 Hopper Corp. had the following deferred income tax items: Deferred tax asset of 56 million related to a current liability Deferred tax asset of 38 million related to a concurrent liability Deferred tax liability of 122 million related to a concurrent asset Deferred tax liability of 74 million related to a current asset Hopper Corp. should report in its December 31, 2024 balance sheet; Noncurrent deferred tax asset of 90 million and a non current deferred...
The classified balance sheet for a company reported current assets of $1,624,125, total liabilities of $810,540,...
The classified balance sheet for a company reported current assets of $1,624,125, total liabilities of $810,540, common stock of $1,110,000, and retained earnings of $141,260. The current ratio was 2.5. Which of the following statements is not correct? 1. Total Assets are $2,061,800. 2. Total Stockholders’ equity is $1,251,260. 3. Noncurrent liabilities are $141,260. 4The amount of current assets is 2.5 times the amount of current liabilities.
MC Qu. 2-173 The classified balance sheet for a... The classified balance sheet for a company reported current assets o...
MC Qu. 2-173 The classified balance sheet for a... The classified balance sheet for a company reported current assets of $1,818,796, total liabilities of $802,540, Common Stock of $1,030,000, and Retained Earnings of $133,260. The current ratio was 2.8. Which of the following statements is not correct? Multiple Choice C) Noncurrent liabilities are $133,260. Total Stockholders' equity is $1,163,260. Total Assets are $1,965,800. o The amount or The amount of current assets is 2.8 times the amount of current liabilities.
At the end of 2015, Dolf Company prepared the following schedule of its deferred tax items (based...
At the end of 2015, Dolf Company prepared the following schedule of its deferred tax items (based on the currently enacted tax rate of 30%): Deferred Tax Item # Account Balance Related Asset or Liability causing the deferred tax item 1 $ 8,400 debit Current asset 2 10,200 debit Noncurrent asset 3 5,700 credit Current liability 4 17,700 credit Noncurrent liability On April 30, 2016, Congress changed the income tax rate to 40% for 2016 and future years. At the...
6) For reporting purposes, deferred tax assets and deferred tax labilities for the same company and tax jurisdiction are: a. Reported separately in the balance sheet. b. Reflected only in the notes to the financial statements. C. Combined with noncurrent deferred tax assets and noncurrent deferred tax liabilities in the balance sheet to show a single net noncurrent among. d. Netted against one another and show as a net current asset or liability in the balance sheet. 7) of the...
General Question/Exercise 16-17 Deferred Tax Classification The company has the following balances in its deferred tax asset and liability accounts at the end of 2019. Each tax asset or liability is related to a specific asset or liability account that gave rise to it. Account Balance Related Asset or Liability Deferred tax asset $ 25,600 Accounts receivable-current Deferred tax asset $ 18,400 Pension Liability-noncurrent Deferred tax liability $ 10,000 Installment sale-current Deferred tax liability $ 22,000 Property, plant, & Equipment-noncurrent...
22) Moody Corporation recorded the following deferred tax assets and liabilities: What will be the balances in the deferred tax asset and deferred tax liability accounts on Moody Corporation's balance sheet? S 500,000 Deferred tax assets related to U.S. operations (600,000 Deferred tax liabilities related to U.S. operations 800,000 Deferred tax assets related to Canadian operations (2,000,000 Deferred tax liabilities related to European operations Net deferred tax liabilities $ 1,300,000
MC Qu. 2-173 The classified balance sheet for a... The classified balance sheet for a company reported current assets of $1,818,796, total liabilities of $802,540, Common Stock of $1,030,000, and Retained Earnings of $133,260. The current ratio was 2.8. Which of the following statements is not correct? Multiple Choice C) Noncurrent liabilities are $133,260. Total Stockholders' equity is $1,163,260. Total Assets are $1,965,800. o The amount or The amount of current assets is 2.8 times the amount of current liabilities.
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