Rodd Co. reports a taxable and pretax financial loss of $400,000 for 2011. Rodd's taxable and pretax financial income and tax rates for the last two years were:
2009 $400,000 30%
2010 400,000 35%
The amount that Rodd should report as an income tax refund receivable in 2011, assuming that it uses the carryback provisions and that the tax rate is 40% in 2011, is
$160,000.
$180,000.
$120,000.
$140,000.