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Accounting problem Lucy Company has provided the following information related to 2021: Temporary differences for the year 2021 are summarized below. Expenses deducted in the

Accounting problem

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Lucy Company has provided the following information related to 2021: Temporary differences for the year 2021 are summarized below. Expenses deducted in the tax return, but not included in the income statement: Depreciation $61,000 Prepaid expense $ 8,100 Expenses reported in the income statement, but not deducted in the tax return: Warranty expense $9.100 (b.) No temporary differences existed at the beginning of 2021. (c.) Pretax accounting income was $68,100 and taxable income was $8,100 for 2021. (d.) There were no permanent differences. (e.) The tax rate is 35%. Required: Prepare the journal entry to record the tax provision for 2021. (If no entry is required for a transaction/event. select "No journal entry required" in the first account eld.)

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