Burgher Ltd. had a taxable loss of $300,000 in 20X7. The tax rate in 20X7 is 32%. In the past three years, the company had the following taxable income and tax rates:

	20X4			20X5			20X6
Taxable income	$	200,000		$	120,000		$	80,000
Tax rate		36	%		38	%		40	%

There are no temporary differences other than those created by income tax losses.

Required: 1. What is the amount of refund that will be claimed in 20X7, taking the loss back to the oldest possible year, first? Provide the journal entry for income tax receivable in 20X7. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

Find:

Refund amount?

Record the entry for income tax recoverable.

2. Is there a different pattern for claiming a refund that the company could use? Recalculate the refund and provide the journal entry under this assumption. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) find:

refund amount ?

Record the entry for income tax recoverable.