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The correct answer is 212040 8. The following information relates to Pepper Company. Pepper's fiscal year ends September 30. Pepper did not have any temporary
The correct answer is 212040
8. The following information relates to Pepper Company. Pepper's fiscal year ends September 30. Pepper did not have any temporary or permanent differences for 2018, 2019, or 2020. Pepper's taxable income for its first three years of operations are as follows: 2018 2019 2020 344,000 (558,000) 726,000 Pepper's tax rate is 34% for 2018 and 2019. The enacted tax rate for 2020 is 38% and all future years. Pepper was certain that it would recover the full tax benefit of the Net Operating Loss (NOL). What did Pepper report on September 30, 2019, as the deferred tax asset related to their NOL? Round your answer to the nearest whole dollarStep by Step Solution
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