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Which of the Following Does Not Help in Explaining Why

Question 38

Multiple Choice

Which of the following does not help in explaining why (1) and (2) are different: (1) Income tax expense
(2) The product of pre-tax income and the current tax rate.


A) Permanent differences
B) A change in the effective tax rate
C) The fact that future and current tax rates are different
D) Temporary differences

Correct Answer:

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