The focus of ASC 740 is the income statement.
The focus of ASC 740 is the balance sheet.

Question

Quizplus · Accepted Answer

The focus of ASC 740 is on the balance sheet and how income taxes affect a company's financial position. It provides guidance on accounting for income taxes, including the recognition, measurement, and disclosure of deferred tax assets and liabilities. The income statement is impacted by the recognition of current and deferred tax expense, but it is not the primary focus of ASC 740.

The Focus of ASC 740 Is the Income Statement