The following information pertains to ABC Inc.:
Assume that ABC Inc.meets the more likely than not criteria for tax loss carry forward recognition.The tax rate for 2015 and beyond is expected to be 20%, and this rate was enacted during 2014.This information would result in:
A) a Deferred Tax Asset - Carry forward in the amount of $135,000.
B) a Deferred Tax Asset - Carry forward in the amount of $47,500.
C) a Deferred Tax Asset - Carry forward in the amount of $38,000.
D) a Deferred Tax Asset - Carry forward in the amount of $108,000.
Correct Answer:
Verified
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