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During 2018, its first year of operations, Baginski Steel Corporation reported a net operating loss of $440,000 for financial reporting and tax purposes. The enacted tax rate is 40% Required: 1. Prepare the journal entry to recognize the income tax benefit of the net operating loss. Assume the weight of available evidence suggests future taxable income sufficient to benefit from future deductible amounts from the net operating loss carryforward. 2. Show the lower portion of the 2018 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. Assume the weight of available evidence suggests future taxable income sufficient to benefit from future deductible amounts from the net operating loss carryforward. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in thousands.) Show less A View journal entry works heet View transaction list General Journal No Event Debit Credit 1 Deferred tax asset 1 Income tax benefit-Net operating loss Show the lower portion of the 2018 income statement that reports the income tax benefit of the net operating loss. (Amounts to be deducted should be indicated with a minuss sign. Enter your answers in thousands.) Operating loss before income taxes Income tax benefit-net operating loss Net loss 0 Wynn Sheet Metal reported a net operating loss of $134,000 for financial reporting and tax purposes in 2018. The enacted tax rate is 30%. Taxable income, tax rates, and income taxes paid in Wynn's first four years of operation were as follows: ble Income T Income $77,000 87,000 97,000 77,000 Paid Rates 2014 20% $15,400 17,400 29,100 30,800 2015 20 2016 30 2017 40 Prepare the journal entry to recognize the income tax benefit of the net operating loss. Wynn elects the carryback option. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in thousands and round your answers to 1 decimal place.) View transaction list View journal entry worksheet General Journal No Event Debit Credit Receivable-Income tax refund 1 Income tax benefit-Net operating loss Show the lower portion of the 2018 income statement that reports the income tax benefit of the net operating loss. (Amounts to be deducted should be indicated with a minus sign. Enter your answers in thousands and round your answers to 1 decimal place.) Operating loss before income taxes Income tax benefit-net operating loss Net loss 0.0