medium · Financial Accounting accounting-cycle-financial-statements

Pinnacle Corp. has $1,000,000 of Deferred Tax Liabilities and $400,000 of Deferred Tax Assets at the end of the year.

How should these be presented on a classified balance sheet under US GAAP?

  1. DTA of $400,000 and DTL of $1,000,000 both shown as noncurrent.
  2. Net Noncurrent Deferred Tax Liability of $600,000.
  3. Current Net Deferred Tax Liability of $600,000.
  4. Current DTA of $400,000 and Noncurrent DTL of $1,000,000.

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