1. A company has pretax income of $250,000 for the year. Included in pretax income are the following:

• Warranty accrual of $50,000 of which none was actually paid.
• CEO salary expense of $1,100,000 of which only $1,000,000 is deductible for U.S. income tax purposes. The remaining $100,000 will never be deductible.

Assuming the tax rate is 40% record the journal entries required by ASC 740 purposes to record the tax provision for the year.