Why do most companies prefer to use an NOL Carryback instead of an NOL Carryforward when both options are allowed by tax law? (NI - 840) O It allows them to reduce their income tax expense in the current year. O It allows them to reduce their future income tax expense. O It allows them to increase their income tax refund in the current year. O It allows them to increase their future income tax refunds.

Why do most companies prefer to use an NOL Carryback instead of an NOL Carryforward when both options are allowed by tax law? (NI - 840) O It allows them to reduce their income tax expense in the current year. O It allows them to reduce their future income tax expense. O It allows them to increase their income tax refund in the current year. O It allows them to increase their future income tax refunds.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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