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Exercise 16-13 (Algo) Deferred tax asset; income tax payable given; previous balance in valuation allowance [LO16-4] At the end of 2020. Payne Industries had a

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Exercise 16-13 (Algo) Deferred tax asset; income tax payable given; previous balance in valuation allowance [LO16-4] At the end of 2020. Payne Industries had a deferred tax asset account with a balance of $45 million attributable to a temporary booktax difference of $180 million in a liability for estimated expenses. At the end of 2021 , the temporary difference is $128 million. Payne has no other temporary differences. Taxable income for 2021 is $324 million and the tax rate is 25%. Payne has a valuation allowance of $18 milion for the deferred tax asset at the beginning of 2021 . Required: 1. Prepare the journal entry(s) to record Payne's income taxes for 2021, assuming it is more likely than not that the deferred tax asset will be realized in full. 2. Prepare the journal entry(s) to record Payne's income taxes for 2021 , assuming it is more likely than not that only one fourth of the deferred tax asset ultimately will be realized. Prepare the journal entry(s) to record Payne's income taxes for 2021 , assuming it Is more likely than not that the deferred tax asset will be realized in full. (If no entry is required for a transaction/event, select "No Journal entry required" in the first account field. Enter your answers in millons (l.e., 10,000,000 should be entered as 10).) Journal entry worksheet Prepare the journal entry(s) to record Payne's income taxes for 2021 , assuming it is more likely than not that the deferred tax asset will be realized in full. (If no entry is required for a transaction/event, select "No fournal entry required" in the first account fieid. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) Journal entry worksheet Record valuation allowance for the end of 2021. Note: Enter debits before credits: Prepare the journal entry(s) to record Payne's income taxes for 2021 , assuming it is more likely than not that only one-fourth of the deferred tax asset uitimately will be realized. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (l.e., 5,500,000 should be entered as 5.5).) Journal entry worksheet 2 Prepare the journal entry(s) to record Payne's income taxes for 2021 , assuming it is more likely than not that only one-fourth of the deferred tax asset ultimately will be realized. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5).) Journal entry worksheet Note: Enter debits before credits

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