During Year 1, its first year of operations, a company reported a net operating loss of $495,000 for financial reporting and tax purposes. During Year 2, the company reported income of $275,000 for financial reporting and tax purposes. The enacted tax rate is 25%. Required: 1. Prepare the journal entry to recognize the company's Year 2 tax expense or tax benefit. 2. Show the lower portion of the Year 2 income statement that reports income tax expense or benefit. Complete this question by entering your answers in the tabs below. Prepare the joumat entry to fecognize the company's Year 2 tax expense or tax benefit. Note: if no eftry is repuired for a transactionevent, select 'No journst entry required' in the first account field. During Year 1, its first year of operations, a company reported a net operating loss of $495,000 for financial reporting and tax purposes. During Year 2 , the company reported income of $275,000 for financial reporting and tax purposes. The enacted tax rate is 25%. Required: 1. Prepare the journal entry to recognize the company's Year 2 tax expense or tax benefit. 2. Show the lower portion of the Year 2 income statement that reports income tax expense or benefit. Complete this question by entering your answers in the tabs below. Show the lower portion of the Year 2 income statement that reports income tax expense or benefit