Exercise 19-23 Headland Inc. reports the following pretax income (loss) for both financial reporting purposes and tax purposes. (Assume the carryback provision is used for a net operating loss.) Pretax Income (Loss) Year Tax Rate $117,000 2015 34 2016 94,000 34 38 2017 (261,000) 2018 38 229,000 The tax rates listed were all enacted by the beginning of 2015