Blue Inc. reports the following pretax income (loss) for both financial reporting purposes and tax purposes.

Year		Pretax Income (Loss)			Tax Rate
2018		$129,000			17	%
2019		110,000			17	%
2020		(210,000	)		19	%
2021		300,000			19	%

The tax rates listed were all enacted by the beginning of 2018

A. Prepare the journal entries for the years 20182021 to record income tax expense (benefit) and income taxes payable (refundable) and the tax effects of the loss carryforward, assuming that at the end of 2020 the benefits of the loss carryforward are judged more likely than not to be realized in the future

B. Assuming that at the end of the 2020, the benefits of the loss carryforward are judged more likely than not to be realized in the future, prepare the income tax section of the 2020 income statement beginning with the line "operating loss before income taxes"

C. Prepare the journal entries for 2020 and 2021 assuming that based on the weight of available evidence, it is more likely than not that one-fourth of the benefits of the loss carryforward will not be realized.

D. Assuming that based on the weight of available evidence, it is more likely than not one-foruth of the benefits of the loss carryforward will not be realized, prepare the income tax section of the 2020 income statement beginning with the line "operating loss before income taxes"