Advanced Accounting II Chapter 19- Income Taxes Problem 1. Garrison Designs, Inc., a corporat the ten-year period, 2008-2017 tion organized on January 1, 2008, reported the following incomes (losses) for Year 2008 2010 2011 2012 2013 2014 2015 2016 2017 Instructions Income Loss) S 16,000 (40,000) 16,000 24,000 (32,000) 16,000 32,000 64,000 80,000 (16,000) Income Tax Rate 50% 50% 48% 48% 45% 42% 42% 34% 34% 30% (1) Applying the carryback provisions in the tax law, compute the net amount of taxes paid (amounts paid less refunds) for the ten-year period ending December 31, 2017. (2) Make journal entries to record income tax expense for 2015, 2016, and 2017 (3) Make journal entries to record income tax expense for 2017, assuming that Garrison chooses NOT to apply loss carry back in 2017 in anticipation of higher tax rates in the future, and it is more likely than not that 40% of the loss carry-forward will not be realized