Data and Requirements are at the bottom labeled 1 and 2.

5. Williamson Construction Equipment Manufacturers engaged in an installment sale with one of its major customers. The firm negotiated the terms of the installment sale for a specialized piece of equipment; full payment is required within three years. We present information related to Williamson's first three years of operations: (Click the icon to view the data.) Read the requirements? Requirement a. Prepare the journal entries required to record the tax expense for all three years. (Record debits first, then credits. Exclude explanations from any journal entries.) Begin with the journal entry required to record the tax expense for year 1. Year 1 Account (1) Income Tax Expense (2) Income Taxes Payable (3) Deferred Tax Liability (4) Next prepare the journal entry required to record the tax expense for year 2 Account Year 2 (5) (8) Now prepare the journal entry required to record the tax expense for year 3. Account Year 3 (11) (12) Requirement b. Determine the net income reported on the income statement for the three years. (Use parentheses or a minus sign for numbers to be subtracted.) Year 1 Year 2 Year 3 (13) (14) Net income 1: Data Table Account Sales Gross Profit on Installment Sales Taxable portion of cash collected on installment sales Year 1 GAAP 10,000 $ 4,000 Year 2 Tax GAAP 10,000 $ 15,800 $ 0 0 Year 3 Tax GAAP 15,800 $ 15,700 $ 0 0 $ $ Tax 15,700 0 1,200 (700) 900 (500) 1,900 (1,000) Operating Expenses (700) (500) (1,000) $ 13,300 $ 15,300 $ 14,700 Income before Tax Taxable Income $ $ 16,200 $ 10,500 35% 16,600 35% Tax Rate 35% $ 3,675 5,670 $ 5,810 Tax Payable 2: Requirements a. Prepare the journal entries required to record the tax expense for all three years. b. Determine the net income reported on the income statement for the three years