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The controller was extremely impressed in your proficiency with the financials a
The controller was extremely impressed in your proficiency with the financials and sent your work over to the chief financial officer (CFO). Because of your attention to detail and understanding of the Generally Accepted Accounting Principles (GAAP), the CFO asks you to review the note disclosures related to deferred taxes for the organization.
Once your review is complete, the CFO asked you to address the following related to the organization’s deferred tax footnote:
What are the main temporary and permanent differences discussed in the entity’s footnote and how are they classified in the balance sheet?
Why is the classification of the differences in the balance sheet the appropriate treatment?
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