At December 31, 2016, Palden Corporation had a deferred tax asset of $800,000, resulting from future deductible

Question:

At December 31, 2016, Palden had a deferred tax asset of $800,000, resulting from future deductible amounts of $3.2 million and an enacted tax rate of 25%. In May 2017, new income tax legislation is signed into law that raises the tax rate to 30% for 2017 and future years. Prepare the journal entry for Palden to adjust the deferred tax account.
Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...