Big Bear Sporting Goods opened in 2018. They reported sales revenue of $ 425, 000 and expenses of $ 440, 000. There are no permanent or temporary differences, so the book loss and taxable loss will be the same. Big Bear plans on carrying forward the net operating loss (NOL). Assuming a 42% tax rate, what is the necessary journal entry in 2018 to record the NOL carryforward?

Answer rating: 100% (QA)

To record the NOL carryforward you will need to create a journal entry that reflects the d... View the full answer