Multiple Choice
Pratt Inc. reported $198,300 book depreciation on its financial statements and deducted $256,000 MACRS depreciation on its tax return. As a result, Pratt has a $57,800:
A) Unfavorable permanent book/tax difference
B) Favorable permanent book/tax difference
C) Unfavorable temporary book/tax difference
D) Favorable temporary book/tax difference
Correct Answer:
Verified
Correct Answer:
Verified
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