Boers Corporation and Bernstein, Inc., both project pre-tax income of $100 million in 2017. Both also expect there to be no change in their cumulative temporary differences during the year. However, the two companies are in very different deferred tax positions, as the following information about their deferred tax assets and liabilities at December 31, 2016, indicates: ($ in millions) Boers Corporation Bernstein, Inc. Deferred tax assets Deferred tax liabilities Net deferred tax assets (liabilities) $245 315 $ (70) $490 77 $413 Neither company has any permanent differences. At December 31, 2016, the two companies' deferred tax assets and liabilities are determined based on the enacted tax rate of 35%. However, on January 1, 2017, the income tax rate was changed by law to 38% for 2017 and all subsequent years. Required: 1. What amount of taxes are due in 2017 for each of the companies? 2. What amount of income tax expense does each company report in 2017? 3. What are the two companies' effective tax rates in 2017? 4. What amount does each company report at December 31, 2017, for deferred tax assets and deferred tax liabilities