34. Information for Hobson Corp. for the current year ($ in millions): $ Income from continuing operations before tax Loss on discontinued operation (pretax) Temporary differences (all related to operating income): Accrued warranty expense in excess of expense included in operating income Depreciation deducted on tax return in excess of depreciation expense Permanent differences (all related to operating income): Nondeductible portion of entertainment expense The applicable enacted tax rate for all periods is 25%. What should Hobson report as net income? $215 million $153 million. $97 million. $171 million Help Save & Exit Submit Isaac Inc. began operations in January 2021. For some property sales, Isaac recognizes income in the period of sale for financial reporting purposes. However, for income tax purposes, Isaac recognizes income when it collects cash from the buyer's installment payments. In 2021, Isaac had $653 million in sales of this type. Scheduled collections for these sales are as follows: 2021 2022 2023 2024 2025 $ 70 million 128 million 126 million 156 million 173 million $653 million Assume that isaac has a 30% Income tax rate and that there were no other differences in income for financial statement and tax purposes. Suppose that, in 2022, legislation revised the income tax rates so that isaac would be taxed in 2023 and beyond at 25%, rather than 30%. Assume that there were no other differences in income for financial statement and tax purposes. Ignoring operating expenses and additional sales in 2022, what deferred tax liability would Isaac report in its year-end 2022 balance sheet? (Round your answer to the nearest whole million.) Multiple Choice $116 milion O $137 million Assume that Isaac has a 30% income tax rate and that there were no other differences in income for financial statement and tax purposes. Suppose that, in 2022, legislation revised the income tax rates so that isaac would be taxed in 2023 and beyond at 25%, rather than 30%. Assume that there were no other differences in income for financial statement and tax purposes. Ignoring operating expenses and additional sales in 2022, what deferred tax liability would Isaac report in its year-end 2022 balance sheet? (Round your answer to the nearest whole million) Multiple Choice O sn6 milie $137 million O $261 million O $158 million