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In: AccountingTPW, a calendar year taxpayer, sold land with a $542,000 taxbasis for $785,000 in February....TPW, a calendar year taxpayer, sold land with a $542,000 taxbasis for $785,000 in February. The purchaser paid $82,000 cash atclosing and gave TPW an interest-bearing note for the $703,000remaining price. In August, TPW received a $58,250 payment from thepurchaser consisting of a $35,150 principal payment and a $23,100interest payment. Assume that TPW uses the installment sale methodof accounting.Compute the difference between TPW’s book and tax incomeresulting from the installment sale method.Is this difference favorable or unfavorable?Using a 21 percent tax rate, compute PTR’s deferred tax asset orliability (identify which) resulting from the book/taxdifference.