The Readyhough Corporation was incorporated in 2003. During 2010, the corporation had operating income of $80,000. Because of a strike at its major supplier, the corporation had an operating loss of $60,000 in 2011. The corporation expects to rebound in 2012, forecasting operating income of $140,000. The current interest rate is 6%.
Identify the tax issue(s) posed by the facts presented. Determine the possible tax consequences of each issue that you identify.