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Need answers A & B Eel Corporation reports the following pretax income (loss) for both financial for a reporting purposes and tax purposes. (Assume the
Need answers A & B Eel Corporation reports the following pretax income (loss) for both financial for a reporting purposes and tax purposes. (Assume the carryback provision is used net operating loss.) Year Pretax Income (loss) Rate Tax 2009 $150,000 35% 2010 120,000 25% 2011 (320,000) 39% 2012 250,000 39% The tax rates listed were all enacted by the beginning of 2009. Prepare the journal entries for the years 2009-2012 to record income tax expense (benefit) and income tax payable (refundable) and the tax effects of the loss carryback and/or carryforward. Assuming the same information as part A, assume that at the end of 2011 the benefit of the loss carryforward are judged more likely than not to be realized in the future, prepare the journal entry for 2011
Need answers A & B
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