A) In 2020, Pepper Corporation reported taxable income of $200,000 before any net operating loss

(NOL) deductions. Pepper has a $300,000 NOL carryover that originated in 2019 on which

Pepper elects to forgo the carryback allowed under the CARES Act. Show your calculation of

Peppers 2020 taxable income after any allowed NOL deduction. Also, determine the amount of

any NOL that Pepper will carryover to 2021, and identify any restrictions that may limit the

amount of the NOL deduction recognized by Pepper in 2021. Remember to take the CARES Act

legislation into account.