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3) Prepare the journal entry to record income taxes in 2021. 4) Prepare the journal entry to record income taxes in 2022. Times-Roman Publishing Company

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3) Prepare the journal entry to record income taxes in 2021. 4) Prepare the journal entry to record income taxes in 2022. Times-Roman Publishing Company reports the following amounts in its first three years of operation (\$ in millions): The difference between pretax accounting income and taxable income is due to subscription payments being reported for tax purposes in the year received but reported in the income statement as revenue later when the performance obligation is satisfied. Pretax accounting income for 2021 was $68 million and for 2022 was $62 million. There are no other differences between accounting income and taxable income for 2021 and 2022. The enacted tax rate is 25%. Required: 1) What is the balance sheet account that gives rise to a temporary difference in this situation? Determine the amount of this balance sheet account at the end of each year. 2) Determine the balance in the related deferred tax account at the end of each year. Is it a deferred tax asset or a deferred tax liability

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