The following facts relate to Headland Corporation. 1. Deferred tax liability, January 1, 2020, $42,000. 2. Deferred tax asset, January 1, 2020, $0. 3. Taxable income for 2020, $99.750. 4. Pretax financial income for 2020, $105,000. 5. Cumulative temporary difference at December 31, 2020, giving rise to future taxable amounts, $252,000. Cumulative temporary difference at December 31, 2020, giving rise to future deductible amounts, $36,750. Tax rate for all years, 20%. 6. 7. 8. The company is expected to operate profitably in the future.