2 Signal Company reported a taxable loss of $50,000 in 20X3, its first year of operations, and taxable income of $0 in 20X4. Signal had no temporary or permanent differences in either 20X3 or 20X4. At the end of 20X3, Signal decided that 30% of the operating loss carryforward would not be realized; therefore, a valuation allowance of $6,000 (30% of $50,000 NOL x 40% tax rate) was necessary. At the end of 20X4, Signal believes that the valuation allowance is no longer necessary. Assuming a tax rate of 40%, Signal should report total income tax expense (benefit) of: ($20,000) in 20x3 and $0 in 20X4. b ($14,000) in 20x3 and ($6,000) in 20X4. ($14,000) in 20x3 and $0 in 20X4. d $0 in 20x3 and $0 in 20X4