Bonita Corporation had the following tax information.
Year |
Taxable Income |
Tax Rate |
Taxes Paid |
|||||||
2015 | $304,000 | 38% | $115,520 | |||||||
2016 | 322,000 | 33% | 106,260 | |||||||
2017 | 404,000 | 33% | 133,320 |
In 2018, Bonita suffered a net operating loss of $481,000, which it
elected to carry back. The 2018 enacted tax rate is 32%.
Prepare Bonita’s entry to record the effect of the loss carryback.
(Credit account titles are automatically indented when
amount is entered. Do not indent manually. If no entry is required,
select "No Entry" for the account titles and enter 0 for the
amounts.)
Account Titles and Explanation |
Debit |
Credit |
Answer:
Account titles and Explanation | Debit ($) | Credit ($) | |
Income Tax Refund Receivable | 158,730 | =481000*33% | |
Benefit Due to Loss Carryback | 158,730 |
Bonita Corporation had the following tax information. Year Taxable Income Tax Rate Taxes Paid 2015 $304,000...
Cheyenne Corporation had the following tax
information.
Year
Taxable Income
Tax Rate
Taxes Paid
2015
$306,000
34%
$104,040
2016
324,000
29%
93,960
2017
393,000
29%
113,970
In 2018, Cheyenne suffered a net operating loss of $488,000, which
it elected to carry back. The 2018 enacted tax rate is 28%.
Prepare Cheyenne’s entry to record the effect of the loss
carryback. (Credit account titles are automatically
indented when amount is entered. Do not indent manually. If no
entry is required, select...
Larkspur Corporation had the following tax
information.
Year
Taxable Income
Tax Rate
Taxes Paid
2015
$294,000
35%
$102,900
2016
332,000
30%
99,600
2017
399,000
30%
119,700
In 2018, Larkspur suffered a net operating loss of $476,000, which
it elected to carry back. The 2018 enacted tax rate is 29%.
Prepare Larkspur’s entry to record the effect of the loss
carryback. (Credit account titles are automatically
indented when amount is entered. Do not indent manually. If no
entry is required, select...
Windsor Corporation had the following tax information. Year Taxable Income Tax Rate Taxes Paid 2018 $390,000 35 % $136,500 2019 422,500 30 126,750 2020 520,000 30 156,000 In 2021, Windsor suffered a net operating loss of $624,000, which it elected to carryback. The 2021 enacted tax rate is 29%. Prepare Windsor’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,...
Conlin Corporation had the following tax information. Year Taxable Income Tax Rate Taxes Paid 2015 $300,000 35% $105,000 2016 325,000 30 97,500 2017 400,000 30 120,000 In 2018, Conlin suffered a net operating loss of $480,000, which it elected to carry back. The 2018 enacted tax rate is 29%. Prepare Conlin’s entry to record the effect of the loss carryback.
Brief Exercise 19-12 Conlin Corporation had the follawing tax informatian Taxable Income $300,000 325,000 400000 Tax Rate Year 2015 2016 2017 Taxes Paid $105,000 97,500 120,000 35% 30% 20% In 2019, Conlin suffered a net operating loss of 80,000, which it elected to carry back. The 2018 enacted tax rate is 29%. prepare conlin's entry to record the effect " the loss cam back Credit account titles are automatically indented when an ount s entered. Do not ident manually. If...
Suppose A company had the following taxable income and tax rates: 2015 20162017 2018 Taxable income S50,000 S100,000 $200,000 ($210,000) Income tax rate 35% company chooses NOL carryback, it will receive a tax refund of $74,000 Recall that the from the earlier year company SHOULD start offsetting the NOL with income starting Example 1a Collin Corp. had the following tax information. Year Taxable Tax rate Tax paid 2016 2017 2018 income S300,000 325,000 400,000 35% 30% 30% S 105,000 97...
The pretax financial income (or loss) figures for Bonita Company are as follows. 2012 2013 2014 2015 2016 2017 2018 $164,000 275,000 86,000 (164,000) (390,000) 113,000 98,000 Pretax financial income (or loss) and taxable income (loss) were the same for all years involved. Assume a 45% tax rate for 2012 and 2013 and a 40% tax rate for the remaining years. Prepare the journal entries for the years 2014 to 2018 to record income tax expense and the effects of...
Buffalo reported the following pretax financial income (loss) for the years 2015-2019. 2015 2016 2017 2018 2019 $248,000 379,000 96,000 (535,000) 186,000 Pretax financial income (loss) and taxable income (loss) were the same for all years involved. The enacted tax rate was 34% for 2015 and 2016, and 40% for 2017-2019. Assume the carryback provision is used first for net operating losses. Your answer is partially correct. Try again. Prepare the journal entries for the years 2017-2019 to record income...
Indigo Inc. reported the following pretax income (loss) and
related tax rates during the years 2013–2019.
Pretax Income (loss)
Tax Rate
2013
$38,500
30
%
2014
27,400
30
%
2015
45,100
30
%
2016
78,500
40
%
2017
(196,400
)
45
%
2018
79,600
40
%
2019
96,200
35
%
Pretax financial income (loss) and taxable income (loss) were the
same for all years since Indigo began business. The tax rates from
2016–2019 were enacted in 2016.
(a)
Prepare the...
Shamrock Inc. reported the following pretax income (loss) and related tax rates during the years 2013-2019. Pretax Income (loss) Tax Rate 2013 $41,000 30 % 24,200 2014 30 % 2015 48,800 30 % 2016 84,400 40 % (173,700) 2017 45 % 2018 68,800 40 % 35 % 2019 99,900 Pretax financial income (loss) and taxable income (loss) were the same for all years since Shamrock began business. The tax ratess from 2016-2019 were enacted in 2016 Prepare the journal entries...