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No Tax- Effect Adjustments Are Necessary in Relation to the Consolidation

Question 12

Multiple Choice

No tax- effect adjustments are necessary in relation to the consolidation elimination of intragroup services because:


A) no temporary differences exist between the accounting and tax bases of any assets or liabilities arise due to these elimination entries
B) no adjustment has been made to any expense or income accounts
C) no adjustment has been made to any asset or liability accounts
D) both A and C

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