Location via proxy:   [ UP ]  
[Report a bug]   [Manage cookies]                
Scribd Logo
Upload

Welcome to Scribd!

  • 14 views

    Problem 15-3 Multiple Choice

    Uploaded by

    Mobi Dela Cruz
    This document contains a multiple choice problem with 5 questions regarding deferred tax assets and liabilities. The key points covered are: - Deferred tax liabilities relate to taxable temporary differences while deferred tax assets relate to deductible temporary differences and tax losses. - Deferred tax assets arise from deductible temporary differences and tax losses carried forward. - All deferred tax items must be disclosed separately except for the tax bases of major balance sheet items. - Both interest accrued but not deducted for tax and greater accumulated depreciation for accounting than tax give rise to deductible temporary differences. - A deferred tax asset arises when the tax base of a machine is greater than its carrying amount.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd

    Problem 15-3 Multiple Choice

    Uploaded by

    Mobi Dela Cruz
    14 views2 pages
    This document contains a multiple choice problem with 5 questions regarding deferred tax assets and liabilities. The key points covered are: - Deferred tax liabilities relate to taxable temporary differences while deferred tax assets relate to deductible temporary differences and tax losses. - Deferred tax assets arise from deductible temporary differences and tax losses carried forward. - All deferred tax items must be disclosed separately except for the tax bases of major balance sheet items. - Both interest accrued but not deducted for tax and greater accumulated depreciation for accounting than tax give rise to deductible temporary differences. - A deferred tax asset arises when the tax base of a machine is greater than its carrying amount.

    Original Description:

    valix

    Original Title

    chap15prob3

    Copyright

    © © All Rights Reserved

    Available Formats

    DOCX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    This document contains a multiple choice problem with 5 questions regarding deferred tax assets and liabilities. The key points covered are: - Deferred tax liabilities relate to taxable temporary differences while deferred tax assets relate to deductible temporary differences and tax losses. - Deferred tax assets arise from deductible temporary differences and tax losses carried forward. - All deferred tax items must be disclosed separately except for the tax bases of major balance sheet items. - Both interest accrued but not deducted for tax and greater accumulated depreciation for accounting than tax give rise to deductible temporary differences. - A deferred tax asset arises when the tax base of a machine is greater than its carrying amount.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    14 views2 pages

    Problem 15-3 Multiple Choice

    Uploaded by

    Mobi Dela Cruz
    This document contains a multiple choice problem with 5 questions regarding deferred tax assets and liabilities. The key points covered are: - Deferred tax liabilities relate to taxable temporary differences while deferred tax assets relate to deductible temporary differences and tax losses. - Deferred tax assets arise from deductible temporary differences and tax losses carried forward. - All deferred tax items must be disclosed separately except for the tax bases of major balance sheet items. - Both interest accrued but not deducted for tax and greater accumulated depreciation for accounting than tax give rise to deductible temporary differences. - A deferred tax asset arises when the tax base of a machine is greater than its carrying amount.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 2

    Problem 15-3 Multiple Choice

    1. Which of the following statements in relation to deferred tax assets or liabilities is


    true?

    I. Deferred tax liabilities are the amounts of income taxes payable in future periods
    in respect of taxable temporary.

    II. Deferred tax assets are the amounts of income taxes recoverable in future
    periods in respect of deductible permanent differences.

    a. I only
    b. II only
    c. Both I and II
    d. Neither I nor II

    2. Deferred tax assets are the amount of income taxes in future periods in respect of

    a. Carry forward of unused tax losses only


    b. Taxable temporary differences and carry forward of unused tax losses
    c. Deductible temporary diffences and carry forward of unused tax losses
    d. Permanent differences

    3. All of the following must be disclosed separately, except?

    a. The tax bases of major items on which deferred tax has been included.
    b. The amount of deductible temporary differences for which no deferred tax asset
    is recognized.
    c. The amount of taxable temporary differences associated with investments in
    subsidiaries and associates for which no deferred
    d. The amount of income tax relating to each component of other comprehensive
    income.

    4. Which of the following statements in relation to deductible temporary differences is


    true?

    I. Interest expense accrued but included in taxable profit on cash basis shall be
    included under deductible temporary difference.

    II. Where accumulated depreciation on an asset is greater than accumulated tax


    depreciation, the amount shall be classified under deductible temporary
    differences.
    a. I only
    b. II only
    c. Both I and II
    d. Neither I nor II

    5. Which of the following statement is true in relation to deferred tax?

    I. Development costs have been capitalized and amortized but were deducted in
    determining taxable profit in period in which they were incurred.

    II. The tax base for a machine for tax purposes is greater than the carrying amount
    in the financial statements up to the end of reporting period. This will give rise to
    a deferred tax asset.

    a. I only
    b. II only
    c. Both I and II
    d. Neither I nor II

    Answers Problem 15-3 Multiple choice

    1. A
    2. C
    3. A
    4. C
    5. B

    You might also like