Problem V: Deferred Tax Asset and Deferred Tax Liability. Show all work (10 points)

Blitzen, Inc., is a domestic corporation with the following balance sheet for book and tax purposes at the end of the year. Assume a 35% corporate tax rate and no valuation allowance.

Assets		Tax Debit/(Credit)			Book Debit/(Credit)
Cash		$300			$300
Accounts Receivable		5,000			5,000
Buildings		300,000			300,000
Acc. Depreciation		(150,000)			(80,000)
Furniture & Fixtures		40,000			40,000
Acc. Depreciation		(21,000)			(15,000)
Total Assets		$174,300			$250,300
Liabilities
Accrued Litigation Expense Note Payable		$