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Wynn Farms reported a net operating loss of $128,000 for financial reporting and tax purposes in 2024, The enacted tax rate is 25%. Taxable income,

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Wynn Farms reported a net operating loss of $128,000 for financial reporting and tax purposes in 2024, The enacted tax rate is 25%. Taxable income, tax rates, and income taxes paid in Wynn's first four years of operation were as follows. Required: 1. 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. 2. 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 tox benefit of the net operating loss. NOL carrybacks are not aliowed for most companies, except for property and casualty insurance companies as well as some farm-related businesses. Assume Wynn is one of those businesses: Note: if no entry is required for a transactionjevent, seiect "No journal entry required" in the first occount field Enter your answers in whole doltars. Wynn Farms reported a net operating loss of $128,000 for financial reporting and tox purposes in 2024. The enacted tax rate is 25%. Taxable income, tax rates, and income taxes paid in Wynn's first four years of operation were as follows: Required: 1. 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 compinies as well as some farm-related businesses. Assume Wynn is one of those businesses. 2. 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 tabe below. Show the lower portion of the 2024 income statement that reports the income tax beneft of the net operating loss. Note: Amounts to be deducted should be indicoted with a minus sign. Enter your answers in whole dollaratin

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