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On January 1, year 1, $1,000,000 was collected in advance for rental of a building for a five-year period. The entire $1,000,000 was reported as

On January 1, year 1, $1,000,000 was collected in advance for rental of a building for a five-year period. The entire $1,000,000 was reported as taxable income for the year. The enacted tax rate for this year is 44%. The enacted tax rate for all future years is 46%. Compute the balance in the deferred tax asset at December 31, year 1. SHOW COMPUTATIONS

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