Q7. Please show all steps to make the question worth any marks. Please answer the required! You need to prepare journal enties and answer part a and b like REQUIRED at the end of the question

Part 7: Income Taxes The following information relates to Daru Draperies Inc.'s December 31, 2014 fiscal year, its second year of operations: Loss before taxes on the income statement was $(522,000) On January 1, 2014 a new tax rate of 27% was enacted for 2014 and all future years. The previous tax rate had been 30%. Taxable income for the 2013 year was $351,000, and total tax payable in 2013 was $105,300 In 2014, the company accrued a $210,000 expense for an expected loss on a lawsuit. to judgment on this lawsuit will be rendered in January, 2015, and the company expects lose. The accrual is based on the best estimate of the company's lawyer. Depreciation on property, plant, and equipment for financial reporting purposes was $78,000. The company did not claim any CCA on the tax return in 2014. On December 31, 2013, there was a taxable temporary difference of $84,000 and a deferred tax liability of $25,200 related to the property, plant, and equipment. $12,600 of meals and entertainment expenses were deducted in determining net income. Only one-half of these expenses are deductible for tax purposes. The company's management has determined that it is probable that only two-thirds of any loss carry forward at the end 2014 will realized. The company intends to maximize any loss carrybacks that may be available. Daru Draperies Inc. follows IFRS. Required: Prepare all required journal entries to record the company's income taxes for the year (16 marks) ended December 31, 2014. In 2015 the company does better than expected, and the total taxable income reported is $741,000. How much will the current tax expense be for 2015? (2 marks)