Meyers Co. had a deferred tax liability balance due to a temporary difference at the beginning of 2010 related to $600,000 of excess depreciation. In December of 2010, a new income tax act is signed into law that lowers the corporate rate from 40% to 35%, effective January 1, 2012. If taxable amounts related to the temporary difference are scheduled to be reversed by $300,000 for both 2011 and 2012, Meyers should increase or decrease deferred tax liability by what amount?
Get your custom paper done at low prices
Free formatting (APA, MLA, Chicago, Harvard and others)
12 point Arial/Times New Roman font
Free title page
Free bibliography & reference
What Students Are Saying
Outstanding service, thank you very much.
Awesome. Will definitely use the service again.