On January $1,2024,$ Borneman received a payment of $$200,000$ in advance from Abatkyzy Corporation for a long$-$term consulting project. The project will take place over the years $2024-2027.$ Under GAAP, Borneman correctly accounted for the payment as deferred revenue in $2024.$ Borneman will recognize the revenue from the consulting contract evenly over the years $2024-2027.$

However, the tax code requires Borneman to include the full $$200,000$ as taxable income in $2024.$

There were no deferred tax account balances at the beginning of $2024.$

The tax rate for all years is expected to be $25\%.$

Borneman$$s GAAP pre$-$tax income amounts for each of the four years are as follows:

$2024$

$$145,000$

$2026$

$$150,000$

$2025$

$$155,000$

$2027$

$$148,000$

Required:

Compute the adjustment required to income tax payable in each of the years $2024-2027.$

Prepare a schedule to compute the target deferred tax asset or liability balance and required adjustment for each year.

Record the income tax journal entry for each year.

Suppose that the federal income tax rate for corporations increases from $25\%$ to $30\%$ on January $1,2026.$ Give the journal entry that would be required to account for the tax rate change.