Question
Victoria Clothing reported the following amounts related to income taxes on its 2015 income statement. Income tax benefit from NOL carryback $12,000 Income tax benefit
Victoria Clothing reported the following amounts related to income taxes on its 2015 income statement. Income tax benefit from NOL carryback $12,000 Income tax benefit from NOL carryforward 28,000 Victoria also reported the following on its December 31, 2014 and 2015, balance sheets. 2015 2014 Deferred tax assetNOL carryforward $28,000 $ 0 Income tax refund receivable 12,000 4,000 1. If Victoria uses the indirect method of reporting cash flows, what information concerning income taxes would Victoria include in its statement of cash flows and related disclosure? 2. If Victoria uses the direct method of reporting cash flows, what information concerning income taxes would Victoria include in its statement of cash flows and related disclosure?
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