Please show how you got your numbers, thanks

1. ABC Inc. (ABC) is subject to a 40% tax rate, which has not changed in the last few years. ABC had a deferred income tax account of $30,000 credit at the beginning of the year. During the current year, ABC had the following amounts related to its income and taxes: Net income before taxes Permanent differences Timing differences Taxable income $150,000 (25,000) (15,000) $110,000 Which one of the following is the balance in ABC's deferred income tax account at the end of the current year? a) $6,000 credit b) $24,000 credit c) $36,000 credit d) $46,000 credit 2. McLaughlin Corporation has 6,000,000 common shares outstanding on December 31, 2015. An additional 400,000 common shares were issued on July 1, 2016, and 300,000 more on October 1, 2016. On April 1, 2016, Hart issued 20,000, $1,000 face value, 8% convertible bonds. Each bond is convertible into 60 common shares. No bonds were converted in 2016. Which of the following represents the number of shares to be used in calculating basic earnings per share and diluted earnings per share, respectively, for the year ended December 31, 2016? Assume convertible bonds are dilutive. a) b) c) d) Basic 6,275,000 6,275,000 6,700,000 6,700,000 Diluted 7,175,000 7,475,000 7,600,000 7,900,000