The following facts relate to Blue Corporation. 1. Deferred tax liability, January 1,2020,$48,800. 2. Deferred...
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The following facts relate to Blue Corporation. 1. Deferred tax liability, January 1,2020,$48,800. 2. Deferred tax asset, January 1,2020,$0. 3. Tatable income for 2020,$115,900. 4. Pretax financial income for 2020,$122,000. 5. Cumulative temporary difference at December 31,2020 , giving rise to future taxable amounts, $292,800. 6. Cumulative temporary difference at December 31,2020 , giving rise to future deductible amounts, $42,700. 7. Tax rate for all years, 20%. 8. The company is expected to operate profitably in the future. Prepare the journal entry to record income tax expense, deferred income taxes, and income taxes payable for 2020. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
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