Even if you shoot in jpeg, you can still change the white balance. These statements assuming you can only change WB in RAW are really getting to me. I fix WB all the time and I can't shoot RAW. I don't have the capability of shooting RAW. These false statements are going to affect how new people perceive the intricacies of photography. Please try to make the correct statements...
Does the flash overpowers the incandescent light when used? That is what I would assume. I am guessing that the flash makes it easier for the camera to set the white balance because without there is too little light?
I know my auto white balance works quite well in good light, but inside the house with incandescent lighting, it always turns out yellow.
Hmm, now that I can see both photos (only the 2nd showed for me when I opened the thread), do you have them backwards? The no flash photo is the yellowed first one? You state "no flash" on the 2nd photo and I would think they were opposite.