This and the following 4 questions will share this data. There are a total of 5 questions on accounting for taxes and each are worth 2 marks

In its first two years of operations LUNA BELLE Limited (LBL) paid taxes of $8,500 on taxable income of $50,000. The tax rate for 2021 is 18%.

LUNA BELLE Limited's loss before taxes for 2021 is $172,000. Included in LUNA BELLE Limited's expenses this year is $725,000 in depreciation expense, and meals and entertainment costs of $15,000.

At the beginning of the year, LUNA BELLE Limited had a future tax liability of $25,500 based on $150,000 of temporary differences related to its fixed assets.

LUNA BELLE Limited will claim $680,000 of CCA in 2020. Management anticipates using all of the loss carry-forwards within the allowable carry-forward period. LUNA BELLE Limited has a calendar year end.

Ignoring loss carry-forward or carry-backs, calculate the noncurrent tax expense for 2021 and prepare the appropriate journal entry?

Calculate the amount, if any, that can be recognized on the income statement as a benefit with respect to the loss carry forward, and if appropriate prepare the necessary journal entry?

What is the effective tax rate for 2021?