In the years 20X4 through 20X6, Leader Corp. reported a total of $450,000 of taxable income. The enacted tax rate during those years was 38%. At the end of 20X6, Leader reported a deferred income tax liability related to capital assets. The net book value of these assets was $800,000, while the UCC was $630,000 at the end of 20X6. During 20X7, Leader recorded an accounting loss of $660,000 after depreciation expense of $50,000. No CCA was claimed in 20X7. In 20X7, the enacted rate changed to 40% for both 20X7
and 20X8. In 20X8, Leader reported accounting earnings before tax of $520,000. Depreciation of $50,000 was equal to the CCA claim.

Required:
1. Determine after-tax earnings for 20X7 and 20X8, assuming that the loss carryforwards are most likely to be used in the carryforward period.
2. Repeat requirement 1, assuming that loss carryforward use is not likely.
3. Repeat requirement 1, assuming that loss carryforward use is not likely and 20X4–20X6 tax a returns are refiled in 20X7 and a total of $160,000 of CCA is eliminated.