At Dec. 31, 2016, Belmont co. had a net deferred tax liability of $375,000. An explanation of items that compose this balance is as follows.1) Excess of tax depreciation over book depreciation is $200,000. 2) Accrual for book purposes, of estimated loss contingency from pending law suit that is expected to be settled in 2017. The loss will be deducted on the tax return when paid equals (50,000).3) accrual method used for book purposes and installment method used for tax purposes for an isolated installment sale of an investment equaling $225,000. These amounts total $375,000.

In analyzing the temporary differences, you find that $30,000 of the depreciation temporary difference will reverse in 2017, and $120,000 of the temporary difference due to the installment sale will reverse in 2017. The tax rate for all the years is 40%.

Indicate the manner in which deferred taxes should be presented on Belmont Company's Dec. 31, 2016, balance sheet.