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SUPPLEMENTAL PROBLEM 19-3 In its first two years of operations, GraNOLA Corporation reports a net operating loss (NOL) of $500,000 for 2021 and taxable income

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SUPPLEMENTAL PROBLEM 19-3 In its first two years of operations, GraNOLA Corporation reports a net operating loss (NOL) of $500,000 for 2021 and taxable income of $70,000 before any NOL carryforward for 2022. Granola has a 25% tax rate. As of the end of each year, cumulative temporary differences are: Cumulative temporary difference at December 31 2021 and 2022, giving rise to future taxable amounts of $230,000 and $240,000, respectively. Cumulative temporary difference at December 31, 2021 and 2022, giving rise to future deductible amounts of $95,000 and $120,000, respectively. Assume that, based on the weight of available evidence, it is more likely than not that $100,000 and $64,000 at the end of 2021 and 2022, respectively, of future deductible amounts and loss carryforwards will not be realized. Required: Prepare GraNOLa Corporation's journal entries for the current and deferred portions of income taxes for 2021 and 2022

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