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2012 2013 2014 2015 2016 2017 2018 $176,000 234,000 82,000 (176.000) (407.000) 123,000 97,000 pretax financal income (or loss) and taxable income (loss) were the
2012 2013 2014 2015 2016 2017 2018 $176,000 234,000 82,000 (176.000) (407.000) 123,000 97,000 pretax financal income (or loss) and taxable income (loss) were the same for all years involved. Assume 45% tax rate for 2012 and 2013 and 40% tax rate for the remining years. Prepare the journal entries for the years 2014 to 2018 to record income tax expense and the effects of the net operating loss carrybacks and carryforwards assuming Indigo Company uses the carryback provision. All income and losses relate to normal operations. (In recording the benefits of a loss carryforward, assume that no valuation account is deemed necessary.) (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Debit Cradit 2014 To record income tax expense.) 2015 To racord arryback.) To record arryfonward.) 2012 2018
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