Mathis Co. at the end of 2014, its first year of operations, prepared I pretax financial income and taxable income as follows: Pretax financial income Estimated litigation expense Installment sales Taxable income Use the following to answer questions 1 800,000 2,000,000 S 1.200.000 will be deductible in 2016 when it is e will be realized in the amount of $ as noncur The estimated litigation expense of $2,000,00 be paid. The gross profit from the installment sales each of the next two years. The estimated liability for litigation is classified installment accounts receivable are classified as $800,000 current and $800,000 nonci income tax rate is 30% for all years. 19. The income tax expense is A) S240,000 B) $360,000. C) $400,000. D) $800,000. E) $600,000. F) $550,000. 20. The deferred tax asset to be recognized is A) SO. B) $120,000 current. C) $600,000 current D) $600,000 noncurrent E) S580,000 current. F S604,000 current. 21 The deferred tax liability-current to be recognized is A) $120,000. B) S360,000. C) $240,000 D) $480,000. E) $290,000. F $320,000