$14 - 1 ! Three Differences , "` Beginning Deferred Taxes , Multiple Rates ! The following information is*available for Kemmers Corporation for 20112.1. Depreciation reported on the tax return exceeded depreciation reported on the income statement by$120, ```. This difference will reverse in equal amounts of Bay, `` over the years 2011.7 2016 .2. Interest received on municipal bonds was $ 10, 0` .3. Kent collected in advance on January 1 , 2012, totaled God, call for a 3- year period . Of this amount ,FALL, L` WELS reported as unearned at December 31, 2012, for book purposes .4. The tax rates are ```` for 21/12 and 35% for Zil13 and subsequent Years .5. Income taxes at {} Zu, Jidd are Que For the tax return for 2012 .6 . No deferred taxes existed at the beginning of 2012.Instructions(a) Compute taxable income for 2012 .I'll Compute pretax financial income for 21912 .IC) Prepare the journal Entries to record income tax expense , deferred income taxes , and income taxespayable for 201 2 and Zu13. Assume taxable income was $ ``, ``` in 2011.7.I'd! Prepare the income tax expense section of the income statement for Zul12 , beginning with "Incomebefore income taxes."