A company reported a net operating loss of $670,000 in 2019 when the current tax...
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Accounting
A company reported a net operating loss of $670,000 in 2019 when the current tax rate is 25% and the enacted tax rate for future years is 20%. The company appropriately recorded a deferred tax asset. In 2020, the company reports taxable income of $425,000. Following the net operating loss offset tax rules, the company appropriately applies the net operating loss to offset taxable income. How much of the deferred tax asset account is used in 2020?
a.
$340,000
b.
$68,000
c.
$134,000
d.
$66,000
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