Question

Under current generally accepted accounting principles, which approach is used to determine income tax expense?a. Asset and liability approach.b. A "with and without" approach.c. Net of tax approach.d. Periodic expense approach

Answer 1

The correct answer is A) Asset and liability approach

Step-by-step explanation:

Under current generally accepted accounting principles, which approach is used to determine income tax expense? Asset and liability approach

The asset and liability approach is used to clarify the amount of income tax expense after the number of deferred tax assets and liabilities have been determined.