Qu2. The following information is for Harris Inc, first year of operations. Amounts are in millions of dollars Accounting income for current year $72,000 On December 31 of the Year 1 Harris received an advance collection of rent from their tenant in the amount of $12,000. The payment represented 4 years advance payments of rent Accounting income in Year 2 was 579,000 The enacted tax rate for Year 1 and Year 2 was 21% and the enacted tax rate for all subsequent years is 25% Required: . 1. What is Taxable income in Year 1? 2. Prepare the Journal entry to record income tax expense for Year 1. 3. What is the amount of net income reported on the income statement for Year 1? 4. What is Taxable income in Year 2? 5. Prepare the journal entry to record income tax expense for Year 2. 6. What is the amount of net income reported on the income statement for Year 1? 7. What amounts would be reported on the balance sheet for Year 2