At the end of 20X2, Mac plc had a machine whose carrying amount was £9,000 and tax base was £10,000. The tax rate on corporate profits is 25%. What is the deferred tax related to this machine? a. Deferred tax asset of £250 b. Deferred tax liability of £250 c. Deferred tax asset of £2,500 d. Deferred tax liability of £2.500 e. Deferred tax asset of £2,250 Clear my choice

At the end of 20X2, Mac plc had a machine whose carrying amount was £9,000 and tax base was £10,000. The tax rate on corporate profits is 25%. What is the deferred tax related to this machine? a. Deferred tax asset of £250 b. Deferred tax liability of £250 c. Deferred tax asset of £2,500 d. Deferred tax liability of £2.500 e. Deferred tax asset of £2,250 Clear my choice

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter6: Accounting For Financial Management

Section: Chapter Questions

Problem 7P

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