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Support Taxable income and pretax financial income would be identical for Pharoah Co. except for its treatments of gross profit on installment sales and estimated

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Support Taxable income and pretax financial income would be identical for Pharoah Co. except for its treatments of gross profit on installment sales and estimated costs of warranties. The following income computations have been prepared. Taxable income Excess of revenues over expenses (excluding two temporary differences) Installment gross profit collected Expenditures for warranties Taxable income 2019 $171,000 7,900 (4.900) $174,000 2020 $192,000 7,900 (4.900) $195,000 2021 $83,300 7,900 (4.900) $86,300 Pretax financial income 2019 Excess of revenues over expenses (excluding two temporary differences) $171,000 Installment gross profit recognized 23,700 Estimated cost of warranties (14,700) Income before taxes $180,000 2020 $192,000 -O- 2021 $83,300 $192,000 $83,300 The tax rates in effect are 2019, 40%: 2020 and 2021,45%. All tax rates were enacted into law on January 1, 2019. No deferred Income taxes existed at the beginning of 2019. Taxable income is expected in all future years, Prepare the journal entry to record income tax expense, deferred income taxes, and income taxes payable for 2019, 2020, and 2021. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account tities and enter for the amounts.) Date Account Titles and Explanation Debit Credit The tax rates in effect are 2019, 40%; 2020 and 2021, 45%. All tax rates were enacted into law on January 1, 2019. No deferred income taxes existed at the beginning of 2019. Taxable income is expected in all future years. Prepare the journal entry to record income tax expense, deferred income taxes, and income taxes payable for 2019, 2020, and 2021. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter for the amounts.) Date Account Titles and Explanation Debit Credit e Textbook and Media

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