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4 Wynn Farms reported a net operating loss of $156,000 for financial reporting and tax purposes in 2021. The enacted tax rate is 25% Taxable

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4 Wynn Farms reported a net operating loss of $156,000 for financial reporting and tax purposes in 2021. The enacted tax rate is 25% Taxable income tax rates, and income taxes paid in Wynn's first four years of operation were as follows: 2017 2018 2019 2920 Taxable Income $ 74,000 84,000 136,000 74,000 Tax Rates 30% 30 25 45 Income Taxes Paid $22,200 25,200 34,000 33,300 Required: 1. Prepare the journal entry to recognize the income tax benefit of the net operating loss. NOL carrybacks are not allowed for most companies, except for property and casualty insurance companies as well as some farm related businesses. Assume Wynn is one of those businesses 2. Show the lower portion of the 2021 income statement that reports the income tax benefit of the net operating loss. Complete this question by entering your answers in the tabs below. Required Required 2 Prepare the journal entry to recognize the income tax benefit of the net operating loss. NOL Carrybacks are not allowed for most companies, except for property and casualty Insurance companies as well as some form related businesses. Assume Wynn is one of those businesses (If no entry is required for a transaction/event, select "No joomal entry required in the nest account held Enter your answers in whole dollars.) View transaction list 2. Show the lower portion of the 2021 income statement that reports the income tax benefit of the net operating loss. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare the journal entry to recognize the income tax benefit of the net operating loss. NOL carrybacks are not allowed for me companies, except for property and casualty insurance companies as well as some farm-related businesses. Assume Wynn is those businesses. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. E answers in whole dollars.) View transaction list Journal entry worksheet

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