What is the amount reported as net deferred income taxes

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Problem: In 2017, Kerry Corp's financial statement showed accrued losses on disposal of unused plant facilities of $3,600,000. The facilities were sold in December 2018 and a $3,600,000 loss was recognized for tax purposes then. Also in 2018, Kerry Corp's paid $150,000 for a two-year life insurance policy for their CEO Kerry, and the company was the beneficiary. Assuming that the enacted tax rate is 35% in both 2017 and 2018, and that Kerry paid $1,170,000 in income taxes in 2017.

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Question: What is the amount reported as net deferred income taxes on Kerry's balance sheet at December 31, 2017? Can you please help me by providing the authentic solution of this problem.

Reference no: EM132419019

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