ACCT 540

You have been hired as a consultant to advise on how to present the tax differences between books and tax returns on the balance sheet of RFH company. There are a few questionable items which the curr ent controller Mary Sims is confused as to proper presentation. The timing differences are $1,5000,000 as a result of depreciation timing difference (books S-L versus MACRS tax return). There also was a bad debt reserve increase from the prior year of $250,000. RFH Company is a manufacturing compan...