Wolverine Resources Corp (WOLV)

[Mr. Zen]

jayree: that was a good question, basically it is an accounting term for using the properties as a liability rather than an asset to ease the tax burden;

This is from the 10-Q The Company accounts for income taxes using the asset and liability method in accordance with SFAS No. 109, “Accounting for Income Taxes”. The asset and liability method provides that deferred tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the financial reporting and tax bases of assets and liabilities, and for operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using the currently enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company records a valuation allowance to reduce deferred tax assets to the amount that is believed more likely than not to be realized. As of August 31, 2009 and 2008, the Company did not have any amounts recorded pertaining to uncertain tax positions.

For clairity on this issue and further research I would suggest calling
Bruce Costerd [phone] or
Richard Haderer [phone]