Deferred Taxes Assume the following information for Dawson Detailing Corporation for Year 1 and Year 2: Year 1 1,085,000 56,000 72,000 82,000 64,000 ( 4,800) Pre-Tax Accounting Income Actual Warranty Costs during the year Estimated Warranty Costs Depreciation per tax return Depreciation per income statement Interest on Municipal bonds Fines paid for environmental law violations Enacted tax rate Year 2 1,222,000 88,000 81,000 92,000 64,000 82K x 2,250 21% 25% Required: A.Prepare the journal entry to record income tax expense, deferred taxes, and taxes payable for Year 1. 1085,000 4,800 aa. 1,080200 X 211. 172,000 - 50.000) = 16,000 B. Calculate net income for Year 1. Tux amt 226842 income tax expense DTA Tax payable Nt un conte = 1,085,000 - C. What amount will be reported on the balance sheet for Year 1 related to taxes? D. Prepare the journal entry to record income tax expense, deferred taxes, and taxes payable for Year 2. E. What amount will be reported on the balance sheet for Year 2 related to taxes