Ray Signs Inc.'s pretax accounting income was $42 million and taxable income was $8 million for the year ended December 31, 2021. The difference was due to three items:

1. Tax depreciation exceeds book depreciation by $30 million in 2021 for the assets acquired that year. Tax depreciation will exceed book depreciation by be $50 million in 2022 and to reverse as ($40 million) and ($40 million) in 2023 and 2024, respectively

2. Insurance of $10 million was paid in 2021 for 2022 coverage

3. A $6 million loss contingency was accrued in 2021, to be paid in 2023.

No temporary differences existed at the beginning of 2021. The tax rate is 25%.

a. Determine the amounts necessary to record income taxes for 2021, and prepare the appropriate journal entry.

b. During 2022 a new tax law is enacted that causes the tax rate to change from 25% to 20% starting in 2023. Ray signs pretax accounting income for 2022 was $80 million. There were no differences between accounting income and taxable income other than those described above. (PLEASE DO THIS JOURNAL ENTRY WITH 6 LINES) Determine the amounts necessary to record income taxes for 2022, and prepare the appropriate journal entry/entries