At the beginning of 2017, Sage IT Consulting changed from the recognition overtime (percentage-of-completion) to the completed-contract method for financial reporting purposes. The company will continue to use the completed-contract method for tax purposes. For years prior to 2017, pretax income under the two methods was as follows: percentage-of-completion $229,000, and completed-contract $184,000. The tax rate is 30%. Prepare Sage ITs 2017 journal entry to record the change in accounting principle

Account Titles and Explanation Debit Credit Construction in Process Deferred Tax Liability Retained Earnings