On December 31, 2017, Toms River Rafting, Inc. (TRR), has a deferred tax asset related to a $250,000 net operating loss carryforward The enacted tax rate (and substantively enacted tax rate at the time was 35% when it recognized this deferred tax asset TRR expected to have sufficient earnings to utilize the loss carryforward. TRR reported pre-tax book income of $100,000 and taxable income of $97,700 in 2018. However, because of a severe drought, TRR determines at December 31, 2018, that it is likely the company will only be able to realize half of the net operating loss carryforward remaining at that date. The difference between pre-tax book income and taxable income in 2018 relates to a temporary difference for depreciation of property, plant, and equipment that was purchased in 2018. At December 31, 2018, the enacted tax rate is 35%. However, the substantively enacted tax rate is 40%, and it is fully expected that legislation to change the tax rate to 40%, effective in 2019, will be completed in a matter of days Required: Prepare the journal entries to record tax expense in 2018 under both U.S. GAAP and IFRS. (lf no entry is required for a particular transaction, select "No journal entry required" in the first account field. Round your answers to the nearest whole dollar amount.) View transaction list Journal entry worksheet 2 Prepare the entry for taxes under GAAP Note: Enter debits before credits. Transaction General Journal Debit Credit ncome tax expense Deferred tax liability