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36. Abbot Corporation reported pretax book income of $500,000 in 2011. During the current year, the reserve for bad debts increased by $5,000. In addition, tax depreciation exceeded book depreciation by $40,000. Finally, the Company received $3,000 of tax-exempt life insurance proceeds from the death of one of its officers. Assuming a tax rate of 34%, the Corporation's deferred income tax expense or benefit for 2011 would be: A. $11,900 net deferred tax expense B. $11,900 net deferred tax benefit... View Full Document

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