Deferred Tax Assets in Financial Accounting

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This video shows what a deferred tax asset is in Financial Accounting. Deferred tax assets reduce taxes paid in future periods (they represent future tax savings). Deferred tax assets result from temporary differences between book and tax income. This video provides an example to illustrate how a deferred tax asset could arise and the journal entries that would be necessary to record the deferred tax asset.
This video was funded by a Civic Engagement Fund grant from the Gephardt Institute for Civic and Community Engagement at Washington University in St. Louis.
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Пікірлер: 114

@TheAwesomeWizardDude 2 жыл бұрын

A 10-minute Edspira video contains more information and clearer instruction than 2 hours of lecture. Accounting professors need to watch your content to learn how to explain accounting concepts to their students.

@justinpaucar6816 2 жыл бұрын

The current professor I have reads off PowerPoints and barely touches on the right places where she means for us look.

@elenabottiglieri 3 ай бұрын

definitely

@yvesdemontigny4617 5 жыл бұрын

Just read 47 pages og pp presentation in Intermediate Acctg 2 and was confused. 10 minutes with Edspira and crystal clear. Thank you Michael! You are an inspiration for all of us..

@huiyuan7755 4 жыл бұрын

Spent 1 hour looking at various explanations online and this is THE MOST helpful one so far! Great job!! Thank you!!!

@andrebell4720 6 жыл бұрын

Thank You, The Wiley's textbook explanation of this subject was so confusing.

@Edspira 6 жыл бұрын

No problem. This is a very difficult subject, so I'm glad the video was helpful. Take Care!

@africarib 5 жыл бұрын

EXACTLY why I'm here

@ziyinhuang6532 3 жыл бұрын

wiley TT，so hard to understand why deduct why add back

@Corbenik2nd 3 жыл бұрын

@@Edspira Thanks Professor! Your videos are always my go-to when my lecturers' explanations are too confusing.

@anatulymaimany 5 жыл бұрын

Deferred Tax explanations are confusing everywhere in books and internet. You have just cracked it. The best explanation ever!

@shaunaweisser8575 5 жыл бұрын

amazing again. wish i could hire you as my tutor! i wish my teacher could just be as simple as this, you're always so much easier to understand.

@caseydaniels1977 Жыл бұрын

Thank you so much, I wish I watched this before hours and hours of not understanding the textbook or the professor's lectures. I'm so relieved, lifesaver!

@myphotosone 3 жыл бұрын

Thank you very much for this video Sir. I was totally lost and confused about DTA. Your explanations are to the point, crystal clear and understandable.

@AlexandraCMagana 2 ай бұрын

I was so scared for my mid-term tomorrow because this is by far the hardest chapter I've learned. You helped me understand it sooo much better!

@RamanJGill 3 жыл бұрын

In 8 minutes, you have done what a $200 textbook and a professor could not do, which is to simply lay out the damn concept. Seems so easy now. Thank You!

@yussufhussein8971 4 жыл бұрын

First of all thank you Dr. McLaughlin for your awesome videos. They have helped me a lot through out my accounting classes. I see in your videos that you calculate ITE by multiplying the pretax income with the tax rate but our current book never calculates ITE and only finds that number as “plug” after calculating ITP and DTA/DTL.

@ShivaPremi3708 5 жыл бұрын

Thank you so much for this video. The teaching style is ingenious wisdom.

@CPAHallTalk 2 жыл бұрын

The best explanation of deferred tax assets I've ever seen. Great job.

@404TRUCKERTV Жыл бұрын

Yes, I love how you setup the table, makes it easy to complete journal entries. 👍

@sharonjiang6336 3 жыл бұрын

Gosh Becker made it so confusing. Im relieved after watching your lectures. Thank you and keep up the good works

@randinunley4680 4 жыл бұрын

thank you so much! you made it so much easier to understand...as always with all your videos.

@s82452 8 ай бұрын

This topic made absolutely no sense when I was reading the textbook. This video broke it down so succinctly. Thank youuu

@MT38618 6 жыл бұрын

Best DTA explanation I ever heard . Congrats .

@Edspira 6 жыл бұрын

Awesome! I'm glad this video helped you.

@richardgordon 3 жыл бұрын

Thank God for Edspira! I got totally confused (and backwards) by this issue until you straightened out my thinking!

@Edspira 3 жыл бұрын

No problem my friend!

@OnyxRx8 6 жыл бұрын

Awesome Video! Thanks it helped me get a grasp on the concept.

@gopalnpankaj 3 жыл бұрын

Thanks alot man, you made my day ! I was hell stuck with something and your vedio fixed the issue. Much appreciated 🙏

@sylviazhang6786 5 жыл бұрын

Thank you. It's so much clearer now.

@chaitraa419 6 жыл бұрын

I’m in love with all your videos... very well explained and crystal clear explanations... just amazing…

@Edspira 6 жыл бұрын

Thanks Chaitra!

@campbellblk7484 7 ай бұрын

Holy shit, I freaking get it! I was struggling to understand this in class and you just help me figure it out just like that! Thank you so much!

@swapniltiwari5308 6 жыл бұрын

You my friend deserve an academic honor award! This stuff is gold!

@Edspira 6 жыл бұрын

Thanks Swapnil!

@onnetion 3 жыл бұрын

A simple way to learn the DTA Concept. Thank you Professor.

@Edspira 3 жыл бұрын

No problem!

@ML-vb9xf 5 жыл бұрын

Good video. Very clear! Thx a lot

@NdubisiOnuora 4 жыл бұрын

Easy to explain. Thanks!

@kellyalltogether1747 2 жыл бұрын

My college owes you half of my tuition. Thank you so much for making these videos.

@Edspira 2 жыл бұрын

Thank you for such kind words!

@RanjeetKumar-qm3pq 4 жыл бұрын

Really loved the video explanation.

@vascogamero530 Жыл бұрын

This guy is a gift from above

@mariag1926 5 жыл бұрын

Once again your video has saved my life lol

@namangupta342 2 жыл бұрын

Concise and clear!

@gogohahayo 2 жыл бұрын

Thank you very much, Sir. Your explanation is so much easier and clearer than my teacher's. I was so confused when he tried so hard to explain in the classroom.

@Edspira 2 жыл бұрын

Glad it helped!

@Trueplayaz905 7 жыл бұрын

amazing vid explain very well!

@enriquebn4853 2 жыл бұрын

I know this video is old but I wish you have a chapter by chapter coverage of the Wiley book. Sometimes Farhat is great but a lot of times your clarification on the concept is much clearer. Really appreciate you. Saves me a lot of time wading through everything in the book.

@Edspira 2 жыл бұрын

To which book are you referring?

@enriquebn4853 2 жыл бұрын

@@Edspira My school uses Kieso Weygandt and Warfield Intermediate Accounting Wiley. I'm on the 15th edition but I'm sure there are newer ones out by now as I've seen quite a bit of change. Farhat follows the book and has playlists but a lot of times I find myself searching for your lectures when I struggle. You have some of them. It's hit or miss. It's a breath of fresh air when I do find it because I need a different angle.

@campbellblk7484 7 ай бұрын

@@enriquebn4853 I'm using that now with a newer addition. The book doesn't help me with the wiley homework as much but thanks to these videos I understand it better. At least I got a tutor to help me with the homework.

@ivar5021 2 жыл бұрын

Thank you so much!

@wendyjing4400 6 жыл бұрын

Very clear explanation, Thanks a lot!

@Edspira 6 жыл бұрын

Happy to help. Thanks for watching!

@fabianmarin8514 3 жыл бұрын

Excellent explanation. Thanks a lot for uploading this!

@Edspira 3 жыл бұрын

You're very welcome!

@antonioromero878 Жыл бұрын

Edspira always blessing us with his boss words.

@Edspira Жыл бұрын

Thanks for subscribing, and best of luck in your studies!

@bbqking10 6 жыл бұрын

U always come through when I’m stuck with cpa

@Edspira 6 жыл бұрын

Glad to be of help my friend!

@cherylleong7694 4 жыл бұрын

Harvard Business Publishing materials just....... oh well, your video saved my life, i can graduate tomorrow

@mark91345 6 жыл бұрын

Very well explained. Thank you.

@Edspira 6 жыл бұрын

Thank you for the kind words!

@Svetochka.5 Ай бұрын

best explanation ever!

@tulyadasirirattanatai5550 3 жыл бұрын

Thank you so much for super clear explanation in the world!!

@Edspira 3 жыл бұрын

Glad it was helpful!

@Big4CPA 2 жыл бұрын

OMG MANY THANKS! NOW I UNDERSTAND THIS CONCEPT

@Edspira 2 жыл бұрын

Excellent!

@AANamdar Жыл бұрын

Simply and comprehensively explained. Appreciate it.

@Edspira Жыл бұрын

Glad it was helpful!

@satyamanand6830 3 жыл бұрын

thank u sir ur a life saver

@thomasjoseph2252 2 ай бұрын

Well explained

@eithu3250 2 жыл бұрын

I really thank this video. Very clear and supportive to me.

@Edspira 2 жыл бұрын

Glad to hear that!

@veasnapech1298 2 жыл бұрын

Great explanation! I got more clear with answer I want. Many thanks.

@Edspira 2 жыл бұрын

Happy to help!

@samuelsimbarashechiyama 2 ай бұрын

thank you so much

@suneermadappan 7 жыл бұрын

Thanks, well explained. But I am wondering if their accounting is on an accrual basis, do they have to consider the prepaid rent received as an income, rather than shown it in the next year when the income is actually incurred and realized.

@sawsanaziz7051 4 жыл бұрын

Thank you

@samchen7062 4 жыл бұрын

thank you

@prasantchakroborty3582 6 жыл бұрын

Excellent

@chicagobears60 7 жыл бұрын

I'm having trouble visualizing this in a balance sheet and how the accounting formula would stay balanced.

@lMlarcus 7 жыл бұрын

I can't thank you enough for this. Really clear and effective communication.

@funnyman352 3 жыл бұрын

how do you account for permanent book difference when trying to find tax expense? Do you add that back to your taxable income?

@ataulghafer2425 4 жыл бұрын

Brilliant

@matthewtomasulo5714 5 жыл бұрын

You should get all your videos up on khan academy as well.

@dontlookatmyusername 4 жыл бұрын

Can someone please help me out, I assumed pre-tax book income is what we call the tax-free threshold (the amount of income you don't have to pay tax on?) which I don't think is right ? thanks!

@zackd7597 2 жыл бұрын

So for DTA we add the pre tax income and excess of tax over book to get taxable income but for DTL we subtract to get to get taxable income?

@jemallegrand9352 6 жыл бұрын

Bless you

@Edspira 6 жыл бұрын

Thank you!

@manartarik4717 2 жыл бұрын

Wow you're amazing!

@Edspira 2 жыл бұрын

Thank you! 😊

@petercross1844 4 жыл бұрын

sorry, how did u calculate the 15 k figures

@thomass1891 4 жыл бұрын

Do u also help with CPA exams?

@saifal-salman1532 7 жыл бұрын

James Austria, I think it is great video

@Edspira 7 жыл бұрын

Thanks!

@bcnicholas123 4 жыл бұрын

Damn I wish my professor explained it as clearly as you

@shirleyjia9924 7 жыл бұрын

hello, life saver :)

@Edspira 7 жыл бұрын

Hello :)

@siyandahadebe9208 5 жыл бұрын

Bless

@pieterswiegers5886 4 жыл бұрын

Can someone please help me I'm still a bit lost. If the Tax Expense is 80, the amount we actually paid but we have to pay 100 (Tax Payable) then we paid 20 to little and we still owe 20, how is it then a Asset and not a Liability if we still owe 20 ?

@JennyFarley 2 жыл бұрын

where did the $15,000 pre book income come from?

@arthurchen510 2 жыл бұрын

36,000 Book Revenue - 21,000 operating expenses = 15,000 pre tax book income. You're welcome.

@abelaguilera9330 3 жыл бұрын

Clutch.

@shamiman3665 5 жыл бұрын

Hi your videos are really helpfull....... Please help me for passing my CMA part 1 xam on feb..... On the topic LOWER OF COST OR MARKET topic....kindly...

@Edspira 5 жыл бұрын

I have 2 videos on lower of cost or market. The first one is an explanation, and the second video is an example.kzfaq.info/get/bejne/htSbh6lnt5iqZ6s.html kzfaq.info/get/bejne/hbKeh8KkqrvUgWQ.html Best of luck on the CMA!