Current Attempt in Progress The following facts relate to Vaughn Corporation. 1. 2. 3. 4. 5. Deferred tax liability, January 1, 2020, $40,400. Deferred tax asset, January 1, 2020, $0. Taxable income for 2020, $95,950. Pretax financial income for 2020, $ 101,000. Cumulative temporary difference at December 31, 2020, giving rise to future taxable amounts, $242,400. Cumulative temporary difference at December 31, 2020, giving rise to future deductible amounts, $35,350 Tax rate for all years, 20%. The company is expected to operate profitably in the future. 6. 7. 8. Compute income taxes payable for 2020. Income taxes payable $ Prepare the journal entry to record income tax expense, deferred income taxes, and income taxes payable for 2020. (Credi account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry' the account titles and enter O for the amounts.) Account Titles and Explanation Debit Credit e Textbook and Media Prepare the income tax expense section of the income statement for 2020, beginning with the line "Income before income taxes. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Vaughn Corporation Income Statement (Partial) $ $ $ e Textbook and Media