On 1 November 2021, the company rate of income tax was changed from 35% to...
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Accounting
On 1 November 2021, the company rate of income tax was changed from 35% to 30%. At the previous reporting date (30 June 2021) Montgomery Limited had the following tax balances: Deferred tax assets $33 500 Deferred tax liabilities $18 000 What is the impact of the tax rate change on income tax expense?
a.
Decrease $2 583.
b.
Increase $2 214.
c.
Increase $2 583.
d.
Decrease $2 214.
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