At the beginning of the year,the balance sheet of Jensen Inc. ,shows a $500,000 deferred tax asset relating to a net operating loss carryforward,offset by a $100,000 valuation allowance.At the end of the year,Jensen's auditors agree to release $40,000 of the allowance.Develop the journal entry to record this change in the valuation allowance.

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The Answer of At the beginning of the year,the balance sheet of Jensen Inc. ,shows a $500,000 deferred tax asset relating to a net operating loss carryforward,offset by a $100,000 valuation allowance.At the end of the year,Jensen's auditors agree to release $40,000 of the allowance.Develop the journal entry to record this change in the valuation allowance.

At the Beginning of the Year,the Balance Sheet of Jensen