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Wilcox Corporation reported the following results for its first three years of operation: 2013 income (before income taxes) $2,200,000 2014 income (before income taxes) 200,000
Wilcox Corporation reported the following results for its first three years of operation: 2013 income (before income taxes) $2,200,000 2014 income (before income taxes) 200,000 2015 loss (before income taxes) (1,800,000)
There were no permanent or temporary differences during these three years. Assume a corporate tax rate of 30% for 2013 through 2015, and 40% for 2016 and thereafter. Assuming, at the end of 2015, that Wilcox elects to use the carryforward provision, what income (loss) is reported for 2015?
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