Nolan Corporation had the following tax information.

In 2021, Nolan suffered a net operating loss of $480,000, which it elected to carryback. The 2021 enacted tax rate is 29%. Prepare Nolan?s entry to record the effect of the loss carryback.

Transcribed Image Text:

Taxable Income Tax Rate 35% Taxes Paid Year 2018 2019 2020 $300,000 325,000 $105,000 97,500 30 400,000 120,000