Why should I choose AnalystNotes?

AnalystNotes specializes in helping candidates pass. Period.

Find out more

Basic Question 12 of 13

Which of the following would result in expected reversals of timing differences not occurring?

I. A rise in price levels
II. A firm that has been growing
III. Changes in accounting methods
Check Answer Previous Q Next Q Print

User Contributed Comments 3

User Comment
kalps a) Rise in price leves b) A firm that has been growing c) changes in accounting methods Can cause a deferred tax asset or liability to grow and not reverse. Larger differences are put into the account then taken out, and account thus continues to grow.
Masterkang Ay Ay Ay Kalps can summarize!
poomie83 I wouldnt call that a summary
You need to log in first to add your comment.
I am happy to say that I passed! Your study notes certainly helped prepare me for what was the most difficult exam I had ever taken.
Andrea Schildbach

Andrea Schildbach

Learning Outcome Statements

explain how deferred tax liabilities and assets are created and the factors that determine how a company's deferred tax liabilities and assets should be treated for the purposes of financial analysis

CFA® 2024 Level I Curriculum, Volume 3, Module 9.