CFA Practice Question

There are 520 practice questions for this study session.

CFA Practice Question

Which of the following best describes taxes payable?
A. Total liability for current and future taxes
B. Tax return liability resulting from current period taxable income
C. Actual cash outflow for income taxes, including payments (refunds) for previous years
Explanation: Taxes payable is the current liability resulting from current period taxable income, which is based on a company's tax rate and the portion of its income that is subject to income taxes under the tax laws of the jurisdiction.

User Contributed Comments 1

User Comment
kingirm why use "tax return" ?????
You need to log in first to add your comment.