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Question - Monty Corporation had the following tax information.
Year
Taxable Income
Tax Rate
Taxes Paid
2015
$304,000
38%
$115,520
2016
320,000
33%
105,600
2017
401,000
132,330
In 2018, Monty suffered a net operating loss of $482,000, which it elected to carry back. The 2018 enacted tax rate is 32%. Prepare Monty's entry to record the effect of the loss carryback.
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