Garden Company had pretax accounting income of $24,000 during 2014 . Garden's only temporary difference for 2011 relates to a sale made in 2012 and recognized for accounting purposes at that time. However, Garden uses the installment sales method of revenue recognition for tax purposes. During 2014 Garden collected a receivable from the 2012 sale which resulted in $6,000 of income under the
installment sales method. Garden's taxable income for 2014 would be
a. $6,000.
b. $18,000.
c. $24,000.
d. $30,000.
D
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