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Theses number are incorrect. Can someone help me figure out what I did wrong? MWC Corporation is currently in the sixth year of its existence
Theses number are incorrect. Can someone help me figure out what I did wrong?
MWC Corporation is currently in the sixth year of its existence (2021). In 2016-2020, it reported the following income and (losses) (before net operating loss carryovers or carrybacks). 2016 2017 2018 2019 2020 2021 $ (69,000) (19,000) 56,750 162,000 (220,500) 340,000 a. What is MWC's 2021 taxable income after the NOL deduction (assume it elects to carryback any NOLs it is allowed to carryback)? 2021 taxable income after the NOL deduction $ 119,500 b. What is its 2021 book-tax difference associated with its NOL? Is it favorable or unfavorable? Is it permanent or temporary? Year Book-tax Difference $ 220,500 Favorable or Unfavorable Favorable Temporary or Permanent Temporary 2021Step by Step Solution
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