CFA Practice Question

There are 520 practice questions for this study session.

CFA Practice Question

A decrease in income tax rates will ______

I. decrease deferred tax liabilities.
II. decrease deferred tax assets.
III. increase deferred tax liabilities.
IV. increase deferred tax assets.
Correct Answer: I and II

The net effect is to increase or decrease tax expense.

User Contributed Comments 2

User Comment
farhan92 finally got one right :(
leeboy Yep. See you next semester
You need to log in first to add your comment.