King Company is at first years of in worklife. King Company had no deferred income taxes at the beginning of 2010 on balance sheet. King Companys taxable income for 2010 is $400,000. King Company expects taxable income for all future years. Enacted tax rate is 30%.

-Princess Company paid fine for environmental law violation at an amount of $ 5,000 in 2010. Fines are not tax deductible. -Princess Company estimated a warranty liability of $8,000 and recognized relevant provision in its 2010 financial statements. Princess expects that warranty liability will be settled and become tax deductable in 2011. -Princess Company bought a new warehouse construction at the beginning of 2010 for $200,000. In its IFRS financial statements, building is depreciated for 5 years in straight line basis. Depreciation expense calculated for tax return is $70,000 in 2010.

Calculate IFRS income, income tax expense, income taxes payable and deferred income taxes assets/liabilities of King Company and prepare related journal entries related to income taxes for 2010. Indicate how deferred income taxes should be classified on the statement of financial position at the end of 2010.