Answer:
1. Advance payments on insurance, deductible when paid.
Indication: Deferred tax liability (L)
2. Estimated warranty costs; tax deductible when paid.
Indication: Deferred tax asset (A)
3. Rent revenue collected in advance; cash basis for tax purposes.
Indication: Deferred tax asset (A)
4. Interest received from investments in municipal governmental bonds.
Indication: Neither (N)
5. Prepaid expenses, tax deductible when paid.
Indication: Deferred tax liability (L)
6. Net operating loss carryforward.
Indication: Deferred tax asset (A)
7. Net operating loss carryback.
Indication: Neither (N)
8. Straight-line depreciation for financial reporting; MACRS for tax purposes.
Indication: Deferred tax liability (L)
9. Organization costs expensed when incurred; tax deductible over 15 years.
Indication: Deferred tax asset (A)
10. Life insurance proceeds received upon the death of the company president.
Indication: Neither (N)
