Complete the following statements by filling in the blanks. Please make sure to indicate the subparts when you are answering. g. An increase in the Deferred Tax Liability account on the statement offinancial position is recorded by aIncome Tax Expense account.(debit, credit) to theh. An income statement that reports current tax expense of $82,000 anddeferred tax benefit of $23,000 will report total income tax expense of$i. A reduction in a deferred tax asset is needed whenever it is judged tothat a portion of a deferred tax asset .be(will be,will not be) realized.j. If the tax return shows total taxes due for the period of $75,000 butthe income statement shows total income tax expense of $55,000, thedifference of $20,000 is referred to as a deferred tax(expense, benefit).

Solution Note Dear student as per the Q&A guideline we are required to answer the first question…

Answered: g. An increase in the Deferred Tax…

g. An increase in the Deferred Tax Liability account on the statement of financial position is recorded by a Income Tax Expense account. (debit, credit) to the

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter18: Accounting For Income Taxes

Section: Chapter Questions

Problem 7C

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Question

Complete the following statements by filling in the blanks. Please make sure to indicate the subparts when you are answering.

g. An increase in the Deferred Tax Liability account on the statement of
financial position is recorded by a
Income Tax Expense account.
(debit, credit) to the
h. An income statement that reports current tax expense of $82,000 and
deferred tax benefit of $23,000 will report total income tax expense of
$
i. A reduction in a deferred tax asset is needed whenever it is judged to
that a portion of a deferred tax asset .
be
(will be,
will not be) realized.
j. If the tax return shows total taxes due for the period of $75,000 but
the income statement shows total income tax expense of $55,000, the
difference of $20,000 is referred to as a deferred tax
(expense, benefit).

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