Yes, you would be applying the same method here also:-

For the year ended December 31, 2004 ; taxable income is $140,000

Temporary differences b/w financial & taxable income =

excess depreciation claimed in tax return (income goes down)$25,000

less. long term loss deducted less in tax return this year (income goes up) (10,000) 

Net temporary differences = $15,000

It means that in the future years, taxable income would go up by $15,000 compared to financial income.

Thus, it results in a deferred tax liability = 15,000*40% = $6,000

Hope it helps!

I ve got a little (silly) mnemonic for this:

When FT (financial times) makes income then you are liable paying them-"deferred liability". FT stands for financial income before tax income

When FT incurrs expenses then you are lucky and you have and an asset!-"deferred asset". FT stands for financial expense before tax expense.

The exactly opposite for TF income-"asset" and TF expense-"liability"

I know it sounds silly but...helps me

I found this website where they explained deferred taxes in a very simple manner.  Try it and you'll understand some major parts of it. 

http://www.public.asu.edu/~bac524/deferred_taxes.pdf