P$18\mathrm{.}15$ On December $31,2022,$ Haley Inc. has taxable temporary differences of $$2\mathrm{.}2$ million and a deferred tax liability of $$616,000.$ These temporary differences are due to Haley having clair end of December $2023,$ Haley's substantively enacted tax rate for $2023$ and future years was changed to $30\%.$

For the year ended December $31,2023,$ Haley's accounting loss before tax was $$494,000.$ The following data are also available:

Pension expense was $$87,000$ while pension plan contributions were $$111,000$ for the year. $($Only actual pension contributions are deductible for tax.$)$

Business meals and entertainment were $$38,000.($They are one$-$half deductible for tax purposes.$)$

For the three years ended December $31,2022,$ Haley had cumulative, total taxable income of $$123,000$ and total income current tax expense$/$income tax payable of $$34,440.$

During $2023,$ the company booked estimated warranty costs of $$31,000,$ and these costs are not likely to be incurred until $2027.$

In $2023,$ the company incurred $$150,000$ of development costs $($only $50\%$ of which are deductible for tax purposes$).$

Company management has determined that it is probable that only one half of any loss carryforward at the end of $2023$ will be realized.

In $2023,$ the amount claimed for depreciation was equal to the amount claimed for CCA.

Instructions

Prepare the journal entries to record income taxes for the year ended December $31,2023,$ and the income tax reconciliation note. Round tax rates to one decimal place.

P$18\mathrm{.}16$ Under the temporary difference approach, the tax rates used for deferred tax calcuare those enacted at the balance sheet datehow the rer