[Jasminekoko]

NINJA Question –

Hi Jeff,

I was working through the FAR Ninja MCQ and found this question which is a bit similar to the homework question from Becker. I got the answer as 360,000 as total income tax expense but the answer provided with Ninja was 240,000. I posted question on here and got a reply which I still am blurry as to understand completely. So I asked one of my live class teacher of Becker, and he said that the answer is 360,000. I still asked another professor, the answer would be the same, 360,000. He mentioned that since they don’t say anything about reversing Valuation account in year 2, so don’t assume it is. Well, I am concerned. Please clarify, Jeff. Thanks very much.