Question: Using the information for Vasquez Company in BE17-22, determine the reversal (utilization) of the deferred tax asset for 2021 and 2022. Data from Exercises 22

Using the information for Vasquez Company in BE17-22, determine the reversal (utilization) of the deferred tax asset for 2021 and 2022.

Data from Exercises 22

Company, a U.S. corporate filer, provides you with the following information.

Year 2020 2021 2022 Reported Income (Loss) ($10,000) 7,000 8,000

The company does not report any book tax differences and is subject to a 21% income tax rate. Compute the NOL carryforward benefit and prepare the journal entry for 2020.

Year 2020 2021 2022 Reported Income (Loss) ($10,000) 7,000 8,000

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