Statements for the financial reporting purposes


Dodger Corporation reported a loss for both financial reporting purposes and tax reporting purposes of $231,000 in 2011. For financial reporting purposes, Dodger reported income before taxes for years 2008-2010 as listed below:

2008 ............................ $ 66,000
2009 ............................ 99,000
2010 ............................ 132,000

Assuming Dodger's tax rate is 30 percent in all periods, and that the company uses the carryback provisions, what amount should appear in Dodger's statements for financial reporting purposes as a net loss in 2011?

A) $0

B) $69,300

C) $161,700

D) $234,300

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Accounting Basics: Statements for the financial reporting purposes
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