The income tax disclosure note accompanying the January 31, 2017, financial statements of Walmart is reproduced below: 

Required: 

1. Focusing on only the first part of Note 9, relating current, deferred, and total provision for income taxes, prepare a summary journal entry that records Walmart’s 2017 tax expense associated with income from continuing operations. 

2. Calculate the actual change in Walmart’s net deferred tax liability for fiscal 2017. Does that change reconcile with the change indicated in your summary journal entry? What besides continuing operations might affect deferred taxes?

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2017 2016 2015 Current: U.S. federal $3,454 $5,562 $6,165 U.S. state and local 495 622 810 International 1,510 1,400 1,529 Total current tax provision 5,459 7,584 8,504 Deferred: U.S. federal U.S. state and local 1,054 (704) (106) (216) (387) (55) (77) 51 International (360) Total deferred tax expense (benefit) 745 (1,026) (519) Total provision for income taxes $6,204 $6,558 $7,985 2017 2016 Deferred tax assets: Loss and tax credit carryforwards $3,633 $3,313 Accrued liabilities 3,437 3,763 Share-based compensation 309 192 Other 1,474 1,390 Total deferred tax assets 8,853 8,658 Valuation allowances (1,494) (1,456) Deferred tax assets, net of valuation allowance $7,359 $7,202 Deferred tax liabilities: Property and equipment $6,435 $5,813 Inventories 1,808 1,790 1,452 Other 1,884 Total deferred tax liabilities 10,127 9,055 Net deferred tax liabilities $2,768 $1,853