Question Completion Status: FOR THE ENTIRE HOMEWORK REFER TO THIS INFORMATION. Davison Inc. reported pretax accounting income of $76M for 2021. The following information relates to the differences between pretax accounting income and taxable income. a. Income from installment sales of properties included pretax accounting income in 2021 exceeded that reported for tax purposes by $3M. The installment A/R at year-end 2021 had a balance of $7M (representing portions of 2020 and 2021 installment sales), expected to be collected equally in 2022 and 2023. b. Davison was assessed a penalty of $2M by the EPA for violation of a federal law in 2021. The fine is to be paid in equal amounts in 2021 and 2022. C. Davison rents its operating facilities but owns one asset acquired in 2020 at a cost of $80M. Depreciation is reported by SL for GAAP, assuming a four-year life. On the tax return, deductions for depreciation will be more than SL depreciation the first two years, but less than SL the next two years Income Statement Tax Return Difference 2020 $20M $26M $ (6) 2021 $20M $35M $ (15) 2022 $20M $12M $8 2023 $20M $80M $7M $13 $80M d. SO For tax purposes, warranty expense is deducted when costs are incurred. The balance of the warranty liability was $2 million at the end of 2020. Warranty expense of $4M is recognized in the income statement in 2021. S3M of cost if incurred in 2021, and another $3M of costs anticipated in 2022. At December, 2021, the warranty liability is $3M (after adjusting entries). e. In 2021, Davison accrued an expense and related liability for estimated paid future absences of $7M relating to the company's new paid vacation program. Future compensation will be deductible on the tax return when actually paid during the next two years ($4M in 2022; $3M in 2023). f. During 2020, accounting income included an estimated loss of $2M from having accrued a loss contingency. The loss is paid in 2021 at which time its tax deductible. Tax rate is 25%. Question. What dollar amount of DTL does Davison have on its books at 1/1/2021 related to the installment sale information from part (a)?