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Goff Inc'S Taxable Income Is Computed as Follows Goff's Tax Rate Is 34

Question 61

Multiple Choice

Goff Inc.'s taxable income is computed as follows.  Book income before tax $1,016,200 Net permanent differences 77,930 Net temporary differences 475,200 Taxable incorne $1,569,330\begin{array} { l r } \text { Book income before tax } & \$ 1,016,200 \\\text { Net permanent differences } & 77,930 \\\text { Net temporary differences } & 475,200 \\\text { Taxable incorne } & \$ 1,569,330\end{array} Goff's tax rate is 34%. Which of the following statements is true?


A) The permanent differences caused a $26,496 net increase in Goff's deferred tax liabilities.
B) The permanent differences caused a $26,496 net increase in Goff's deferred tax assets.
C) The temporary differences caused a $161,568 net increase in Goff's deferred tax assets.
D) The temporary differences caused a $161,568 net increase in Goff's deferred tax liabilities.

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