In its 2018 annual report to shareholders, Black Inc. disclosed the following information about income taxes.

A reconciliation of income taxes computed at the United States federal statutory income tax rate (35%) to the provision (benefit) for income taxes reflected in the Consolidated Statement of Operations for the years ended December 31, 2018, 2017, and 2016 is as follows ($ in millions):

The significant components of the net deferred tax assets at December 31, 2018 and 2017 were as follows ($ in millions):

-Why are the depreciation and patent amortization listed as deferred tax liabilities?

Question

In its 2018 annual report to shareholders, Black Inc. disclosed the following information about income taxes.

A reconciliation of income taxes computed at the United States federal statutory income tax rate (35%) to the provision (benefit) for income taxes reflected in the Consolidated Statement of Operations for the years ended December 31, 2018, 2017, and 2016 is as follows ($ in millions):

The significant components of the net deferred tax assets at December 31, 2018 and 2017 were as follows ($ in millions):

-Why are the depreciation and patent amortization listed as deferred tax liabilities?

Quizplus · Accepted Answer

The Answer of In its 2018 annual report to shareholders, Black Inc. disclosed the following information about income taxes.

A reconciliation of income taxes computed at the United States federal statutory income tax rate (35%) to the provision (benefit) for income taxes reflected in the Consolidated Statement of Operations for the years ended December 31, 2018, 2017, and 2016 is as follows ($ in millions):

The significant components of the net deferred tax assets at December 31, 2018 and 2017 were as follows ($ in millions):

-Why are the depreciation and patent amortization listed as deferred tax liabilities?

In Its 2018 Annual Report to Shareholders, Black Inc