Blossom Inc. reported a taxable and accounting loss of $1.36800 for 2023. Its pre-tax accounting income for the preceding two years was as follows: 2021 $63400 2022 83400 Assuming that management wants to use the losses to carryback and recover previous income taxes paid, how much will Blossom receive as a refund based on a 25% tax rate for all years involved? O$34200 O $36700 O$20850 O $136800
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- The Bookbinder Company had 500,000 cumulative operating losses prior to the beginning of last year. It had 100,000 in pre-tax earnings last year before using the past operating losses and has 300,000 in the current year before using any past operating losses. It projects 350,000 pre-tax earnings next year. a. How much taxable income was there last year? How much, if any, cumulative losses remained at the end of the last year? b. What is the taxable income in the current year? How much, if any, cumulative losses remain at the end of the current year? c. What is the projected taxable income for next year? How much, if any, cumulative losses are projected to remain at the end of next year?Brooks Company reported a prior period adjustment of 512,000 in pretax financial "income" and taxable income for 2020. The prior period adjustment was the result of an error in calculating bad debt expense for 2019. The current tax rate is 30%, and no change in the tax rate has been enacted for future years. When the company applies intraperiod income tax allocation, the prior period adjustment will be shown on the: a. income statement at 12,000 b. income statement at 8,400 (net of 3,600 income taxes) c. retained earnings statement at 12,000 d. retained earnings statement at 8,400 (net of 3,600 income taxes)Skysong Corporation had the following tax information. Year Taxable Income Tax Rate Taxes Paid 2023 $276,000 35 % $96,600 2024 299,000 30 89,700 2025 368,000 30 110,400 In 2026, Skysong suffered a net operating loss of $441,600, which it elected to carryback. The 2026 enacted tax rate is 29%. Prepare Skysong's entry to record the effect of the loss carryback. (List debit entry before credit entry. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles enter O for the amounts.) Account Titles and Explanation Debit Credit
- Blossom Corporation had the following tax information: Year Taxable Income Tax Rate Taxes Paid 2020 $389,000 31% $120,590 2021 311,000 30% 93,300 2022 398,100 30% 119,430 In 2023, Blossom suffered a net operating loss of $551,000, which it decided to carry back. The 2023 enacted tax rate is 25%. Prepare Blossom's entry to record the effect of the loss carryback. (List debit entry before credit entry. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Debit Credit Income Tax Receivable 165300 165300Tamarisk Corporation had the following tax information. Year 2018 2019 2020 Taxable Income $288,000 312,000 384,000 Tax Rate 35 % 30 30 Taxes Paid $100,800 93,600 115,200 In 2021, Tamarisk suffered a net operating loss of $460,800, which it elected to carryback. The 2021 enacted tax rate is 29%. Prepare Tamarisk's entry to record the effect of the loss carryback. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)In its first three years of operations, Vaden Corp. experienced the following income/(losses): Year Income/(Loss) Tax Rate 2020 50,000 0.35 2021 40,000 0.30 2022 (130,000) 0.30 Required: Prepare the journal entry that Vaden needs to make in 2022, assuming that it is more likely than not that any loss carryforward will be realized? Prepare the income tax section of the income statement for 2022, beginning with Pretax Net Loss. What additional entry would Vaden need to make in 2022 if it is more likely than not that any loss carryforward will NOT be realized? I need only answer 3
- Kingbird Corporation had the following tax information. Year Taxable Income Tax Rate Taxes Paid 2018 $306,000 35 % $107,100 2019 331,500 30 99,450 2020 408,000 30 122,400 In 2021, Kingbird suffered a net operating loss of $489,600, which it elected to carryback. The 2021 enacted tax rate is 29%.Prepare Kingbird’s entry to record the effect of the loss carryback. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Account Titles and Explanation Debit Credit enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount enter a credit amountIFRS19.7 Rode Inc. incurred a net operating loss of $500,000 in 2020. Combined income for 2018 and 2019 was $350,000. The tax rate for all years is 20%. Prepare the journal entries to record the benefits of the loss carryforward. IFRS19.8 Use the information for Rode Inc. given in IFRS19.7. Assume that it is probable that the entire net operating loss carryforward will not be realized in future years. Prepare the journal entry(ies) necessary at the end of 2020.Shamrock Corporation had the following tax information. Year Taxable Income Tax Rate Taxes Paid 2023 $336,000 35 % $117,600 2024 364,000 30 109,200 2025 448,000 30 134,400 In 2026, Shamrock suffered a net operating loss of $537,600, which it elected to carryback. The 2026 enacted tax rate is 29%. Prepare Shamrock's entry to record the effect of the loss carryback. (List debit entry before credit entry. Credit account titles are automatically Indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Debit Credit
- GGS Corp. reports a net operating loss for 2023 of $1,343,000. Last year the company reported taxable income of $604,000 and in 2021 the company reported taxable income of $672,000. If the tax team has decided to use the carryback provision, what will be the company's tax refund in 2023, assuming the tax rate for all three years is 25%? O $151,000 O $335,750 O $168,000 O $319,000 KWynn Farms reported a net operating loss of $260,000 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: 2020 2021 2022 2023 Taxable Income $ 80,000 90,000 180,000 60,000 Tax Rates 30% 30 40 45 Income Taxes Paid $24,000 27,000 72,000 27,000 Required: 1. 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. Complete the table given below and prepare the journal entry to recognize the income tax benefit of the net operating loss. 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. Required 1 Calculation Required 1 GJ Required 2 Operating loss carryback Carried back - 2020 Carried back - 2021…CSA Corporation suffered the following net operating losses for the last 5 years: 2017 P100,000 2018 P50,000 2019 P150,000 2020 P500,000 2021 P350,000 If net taxable income before the NOLCO deduction is P1,300,000 during 2022, how much is the income tax of CSA Corporation using the 25% income tax rate? Group of answer choices P112,500.00 P37,500.00 P325,000.00 P75,000.00