Wynn Farms reported a net operating loss of $$132,000$ for financial reporting and tax purposes in $2024.$ The enacted

tax rate is $25\%.$ Taxable income, tax rates, and income taxes paid in Wynn$\text{'}$s first four years of operation were as

follows:

Required:

Prepare the journal entry to recognize the income tax benefit of the net operating loss. NOL carrybacks are not

allowed for most companies, except for property and casualty insurance companies as well as some farm$-$related

businesses. Assume Wynn is one of those businesses.

Show the lower portion of the $2024$ income statement that reports the income tax benefit of the net operating

loss.

Complete this question by entering your answers in the tabs below.

Prepare the journal entry to recognize the income tax benefit of the net operating loss. NOL carrybacks are not allowed for $m$

companies, except for property and casualty insurance companies as well as some farm$-$related businesses. Assume Wynn is

those businesses.

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field. Enter your ar

whole dollars.