The following facts relate to Sunland Corporation. 1. | | Deferred tax liability, January 1, 2020, $33,900. | 2. | | Deferred tax asset, January 1, 2020, $11,300. | 3. | | Taxable income for 2020, $118,650. | 4. | | Cumulative temporary difference at December 31, 2020, giving rise to future taxable amounts, $259,900. | 5. | | Cumulative temporary difference at December 31, 2020, giving rise to future deductible amounts, $107,350. | 6. | | Tax rate for all years, 20%. No permanent differences exist. | 7. | | The company is expected to operate profitably in the future. | | | | |