Question:On its December 31 Year 2 Balance Sheet, XYZ Company reports a current liability for income tax payable of $180,000. During the year, the company's Deferred Tax Liability account increased by $54,000 based on a tax rate of 40 percent applying to the future period of taxable income. The tax rate for Year 2 was 30 percent. What is XYZ's book income for Year 2? 

A $600,000 
B $735,000 
C $780,000 
D $585,000 

+ Answer
D 

+ Explanation
Answer not sure

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Md. Habib Ullah

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