A company is scheduling temporary differences for the purpose of computing deferred taxes. The company compared the tax basis assets and liabilities with the book basis assets and liabilities and accumulated the following temporary differences at the end of the current year.

Book value of the depreciable assets is recovered over the next four years at a rate of $25,000 per year. Accrual for vacation is paid over the next two years at a rate of $7,500 per year. The estimated warranty liability is settled over the next three years in the following manner:

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Temporary Difference Differences related to depreciable assets $100,00 Differences related to accrued vacation 15,000 pay Differences related to estimated 95,000 warranties