Answer
Reconciling these two divergent tax rates is imperative since it helps determine the actual taxes due from an entity. Moreover, the reconciliation helps determine the quality of earnings that a company has once the reconciled tax is applied. Through the reconciliation, it becomes easy to determine the actual income tax due from an entity.
Work Step by Step
Reconciling these two divergent tax rates is imperative since it helps determine the actual taxes due from an entity. Moreover, the reconciliation helps determine the quality of earnings that a company has once the reconciled tax is applied. Through the reconciliation, it becomes easy to determine the actual income tax due from an entity.
