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Problem 1: An entity computed its pre-tax income in its GAAP compliant books at P2,450,000 while its income per income tax return properly computed at P2,850,000. There has been a temporary difference causing the discrepancy between the two amounts. The tax rate is 30%. How much is the Deferred Tax Liability of the company to be presented in its statement of financial position?
Option 1: 120,000
Option 2: 855,000
Option 3: 735,000
Option 4: 0
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