12 A- A A E.EU ABCD Aalbod! Aabeba Aa Bbcend Heading Aah CDdl AalbCadet) Aalbo Heading Normal Dutineum be X, X A. A Letter Heading 2 ACCT 3880 Session 15 Discussion Read the assigned material be prepared to answer the following questions in your own words when I call on you in class. 1) Using the following information a) Do the journal entries for 1994 and 1995 assuming: i. tax rates will remain at 35% ii. income for 1995 is correctly anticipated Decker using NOL carryback-carryforward iii. Taxable income (loss) Pretax accounting income Tax rate Decker Corp. 1991 1992 $ 8,000 $ 32,000 S 8,000 $ 32,000 35% 35% 1993 1994 $ 15,000 $(65,000) $ 15,000 $(65,000) 35% 35% 1995 $ 45,000 $ 45,000 35% Use the table below to record your journal entries based on the data above. There are five possible accounts involved in each year: Income Taxes Receivable, Deferred Income Tax Assets, Deferred Income Tax Liabilities, Income Tax Expense, and Income Taxes Payable. Deferred Income Tax Assets and Deferred Income Tax Liabilities must be kept separate in the accounting, but not all four accounts may be involved in every year. Engin funited states Foca 24 MaBbcend Headingi XX A. A AaBbca Ad 1) Alle Heading Normal Onum . Aalbce CD2 Heading 2 Aalibed Aalst Heading 4 Ut Question la Template Account Debit Credit 1994 Totals 1995 Totals AA- E.=.,= XX A.A. ADA Here! Aalst ABCD 1) ABCD Aceh hings Out UM IN Alle Abbed ya Totals Style Pane What are the effective tax rates for 1994 and 1995? 2