Asbat has 100.000 common shares outstanding with no dilutive securities. Thus, its pretax loss per share for 2020 is $7.75. The current consensus analyst forecast for net loss per share (after tax) is $7. Asbat is assessing the need to record a valuation allowance to offset the deferred tax asset balance created by the net operating loss carryforward. While the company has reported losses, management anticipates positive income in the future. The executives of Asbat do not anticipate any fundamental shift in its business in the future. However, the company is currently in the final research and development stage of a new drug that has tremendous market opportunity. Management believes that this drug will be on the market within Professional judgment framework - application scenarios - AFIT valuation allowance 2018 Ems: & Young Foundation (US). All Rights Reserved. SCORE NO. 01724-18IUS