Problem 1: Two independent situations are described below. Each involves future deductible amounts and/or future taxable amounts produced by temporary differences.
|
Situation
|
1
|
2
|
|
Taxable income
|
$40,000
|
$80,000
|
|
Amount at year-end:
|
|
|
|
Future deductible amounts
|
5,000
|
10,000
|
|
Future taxable amounts
|
-0-
|
5,000
|
|
Balance at beginning of year
|
|
|
|
Deferred tax asset
|
1,000
|
4,000
|
|
Deferred tax liability
|
-0-
|
1,000
|
The enacted state and Federal tax rate is 25% for both situations. Determine the change in the deferred tax asset balance for the year.
Problem 2: A corporation was completely liquidated and dissolved during year 14. The filing fees, professional fees, and other expenditures incurred in connection with the liquidation and dissolution are:
a. Deductible in full by the dissolved corporation.
b. Deductible by the shareholders and not by the corporation.
c. Treated as capital losses by the corporation.
d. Not deductible either by the corporation or shareholders.
If you would like to enhance your knowledge regarding this course, then Deferred Tax Asset Balance Assignment Help service is always at your doorstep.
Tags: Deferred Tax Asset Balance Assignment Help, Deferred Tax Asset Balance Homework Help, Deferred Tax Asset Balance Coursework, Deferred Tax Asset Balance Solved Assignments, Dissolved Corporation Assignment Help, Dissolved Corporation Homework Help