For the year ended December $31,2024,$ Fidelity Engineering reported pretax accounting income of $$988,000.$ Selected information for $2024$ from Fidelity's records follows:

Interest income on municipal governmental bonds

Depreciation claimed on the $2024$ tax return in excess of depreciation on the income statement

Carrying amount of depreciable assets in excess of their tax basis at year$-$end Warranty expense reported on the income statement Actual warranty expenditures in $2024$

$$44,000$

$68,000$

$112,000$

$32,000$

$22,000$

Fidelity's income tax rate is $25\%.$ At January $1,2024,$ Fidelity's records indicated balances of zero and $$11,000$ in its deferred tax asset and deferred tax liability accounts, respectively.

Required:

Determine the amounts necessary to record income taxes for $2024,$ and prepare the appropriate journal entry.

What is Fidelity's $2024$ net income?

Complete this question by entering your answers in the tabs below.

$\backslash$table$[[\backslash$table$[[$Required $1],[$Calculation$]],\backslash$table$[[$General$],[$Journal$]],$Required $2,,,,,,],[\backslash$table$[[$Determine the amounts necessary to record income taxes for $2024.],[$Note: Enter your answers in thousands rounded to $1$ decimal place. Amounts to be deducted should be indic$]]],[$Description$,$Amount,$x,$Tax Rate,,Tax,Recorded as:$],[$Pretax accounting income,,$988\mathrm{.}0,,,,,,],[$Permanent difference,,,,,$],[$Interest on governmental bonds$],[$Income subject,taxation,,$$,988\mathrm{.}0,x,,=,,],[$Temporary difference$],[$Depreciation$,,,x,,=,,],[$Warranty expense,,,$x,,=,,],[$Taxable income $($income tax return$),$$$,988\mathrm{.}0,x,,=,,]]$