Calculating Deferred Income Taxes The Sample Corporation prepared the following income statements and income tax returns for Year 1 through Year 4. Income Statement Year 1 Year 2 Year 3 Year 4 Sales $1,000 $1,000 $1,000 $1,000 Operating expenses 650 650 650 650 Pretax net income $350 $350 $350 $350 Provisions for income taxes 175 175 175 175 Net income $175 $175 $175 $175 Income Tax Return Year 1 Year 2 Year 3 Year 4 Sales $1,000 $1,000 $1,000 $1,000 Operating expenses 900 900 400 400 Taxable income $100 $100 $600 $600 Income tax payable 70 70 280 280 After-tax net income $30 $320 $320 $30 Calculate the balance in the company's deferred income tax liability account at the end of each year. Year 1 $ Year 2 $ Year 3 $ Year 4 $ Check