On 1 October 20X6, Isarde absorbs a profitable business; under the tax law of the case, the future profits of the combined entity will be able to absorb 480,000 of Isarde's losses, which had not been recognised. Tax rate: 25%. Record the entry for Isarde's deferred tax asset.
- Acquirer's losses that have become usable
- 480,000
- Tax rate (%)
- 25 %