During 2020, Martinez Cos first year of operations, the company reports pretax financial income at $234,100. Martinez's enacted tax rate is 45% for 2020 and 20% for all later years. Martinez expects to have taxable income in each of the next 5 years. The effects on future tax returns of temporary differences existing at December 31, 2020, are summarized as follows. Future Years 2022 2023 2021 2024 2025 Total Future taxable (deductible) amounts: Installment sales Depreciation Unearned rent $30,000 $30,000 5,700 5,700 (51,600) (51,600 ) $30,000 5 ,700 $5,700 $5,700 $90,000 28,500 (103,200) Complete the schedule below to compute deferred taxes at December 31, 2020. (Negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Deferred Tax Temporary Difference Future Taxable (Deductible) Amounts Tax Rate (Asset) Liability a Installment sales $90,000 20 % $ Depreciation 28,500 20 % % $ 5700 to Unearned rent (103,200) 20 % $ (20640) Totals 15300 14940 181 Complete the schedule below to compute deferred taxes at December 31, 2020. (Negative amounts using either a negative sign preceding the number e.g.-45 or parentheses e.g. (45).) Deferred Tax nporary ference Future Taxable (Deductible) Amounts Tax Rate (Asset) Liability Iment sales $90,000 20 % $ 18000 ciation 28,500 $ 5700 $ 20 % 20 % $ ned rent (103,200) (20640) i als 15300 14940 18000 Compute taxable income for 2020. Taxable income for 2020 $ 275800 e Textbook and Media List of Accounts - Your answer is partially correct. Prepare the journal entry to record income taxes payable, deferred taxes, and income tax expense for 2020. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Debit Credit Income Tax Expense 124110 Deferred Tax Asset 26340 Deferred Tax Liability 18000 Income Tax Payable 132450