Exercise 16-2 (Algo) Determine taxable income; determine prior year deferred tax amount [LO16-2] On January 1, 2018, Ameen Company purchased major pieces of manufacturing equipment for a total of $72 million. Ameen uses straight-line depreciation for financial statement reporting and MACRS for income tax reporting. At December 31, 2020, the book value of the equipment was $66 million and its tax basis was $56 million. At December 31,2021 , the book value of the equipment was $64 million and its tax basis was $49 million. There were no other temporary differences and no permanent differences. Pretax accounting income for 2021 was $50 million. Required: 1. Prepare the appropriate journal entry to record Ameen's 2021 income taxes. Assume an income tax rate of 25%. 2. What is Ameen's 2021 net income? Journal entry worksheet Note: Enter debits before credits. What is Ameen's 2021 net income? (Enter your answers in millions rounded to 2 decimal place (i.e., 10,000,000 should be entered as 10.00).)