Exercise 19-5 The following facts relate to Sage Corporation 1. Deferred tax liability, January 1, 2017, $40,800 2. Deferred tax asset, January 1, 2017, $0 Taxable income for 2017, $96,900 4. Pretax financial income for 2017, $204,000 5. Cumulative temporary difference at December 31, 2017, giving rise to future taxable amounts, $244,800 6. Cumulative temporary difference at December 31, 2017, giving rise to future deductible amounts, $35,700 7, Tax rate for all years, 40% 8. The company is expected to operate profitably in the future Compute income taxes payable for 2017. (Round answer to the nearest dollar amount, e.g. $1,525.) Income taxes payable 38,760 SHOW LIST OF ACCOUNTS Prepare the journal entry to record income tax expense, deferred income taxes, and income taxes payable for 2017. (Credit account titles are automa enter 0 for the amounts. Round answers to the nearest dollar amount, e.g. $1,525.) Debit Account Titles and Explanation Income Tax Expense Deferred Tax Asset Income Tax Payable Deferred Tax Liability Credit SHOW LIST OF ACCOUNTS Prepare the income tax expense section of the income statement for 2017, beginning with the line "Income before income taxes." (Enter loss using eith Sage Corporation Income Statement (Partial) Click if you would like to Show Work for this question: Open Show Work