eBook Print Item Problem 3-23 (LO. 1, 3, 4) Britton, Inc., an accrual basis corporation, sells widgets on credit. Its pretax book Income in its first year of operations is $50,000. Britton's book allowance for uncollectible accounts at the end of the year is $10,000. The applicable income tax rate (combined Federal, state, and global) for year 1 and thereafter is 30%. Britton has a 3,000 deferred tax asset for the current year. The journal entry to record the income tax expense is as follows: JOURNAL DATE Description Post. Ref. Debit Credit Deferred tax liability 2 Deferred tax asset Deferred tax asset