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List Corporation reported pretax accounting income of $90,000, but due to temporary differences, taxable income is only $50,000. Assuming a tax rate of 40%, the income statement should report net income of:

a) $20,000
b) $36,000
c) $54,000
d) $16,000

1 Answer

3 votes
The answer is c I believe I’m not sure though I took a business class like 3 years ago