as the difference between the tax computed on the item based on the amount used for 605358

The amount of income tax applicable to transactions that are not reported in the continuing operations section of the income statement is computed

1. By multiplying the item by the effective income tax rate.
2. As the difference between the tax computed based on taxable income without including the item and the tax computed based on taxable income including the item.
3. As the difference between the tax computed on the item based on the amount used for financial reporting and the amount used in computing taxable income.
4. By multiplying the item by the difference between the effective income tax rate and the statutory income tax rate.