The following information is available for Blossom Corporation for $2025.$

Depreciation reported on the tax return exceeded depreciation reported on the income statement by $$124,000.$ This

difference will reverse in equal amounts of $$31,000$ over the years $2026-2029.$

Interest received on municipal bonds was $$9,600.$

Rent collected in advance on January $1,2025,$ totaled $$59,700$ for a $3-$year period. Of this amount, $$39,800$ was reported as

unearned at December $31,2025,$ for book purposes.

The tax rates are $20\%$ for $2025$ and $17\%$ for $2026$ and subsequent years.

Income taxes of $$167,000$ are due per the tax return for $2025.$

No deferred taxes existed at the beginning of $2025.$

Compute taxable income for $2020.$

Taxable income for $2020$

Compute pretax financial income for $2020$

Pretax financial income for $2020$

Prepare the journal entries to record income tax expense, deferred income taxes, and income taxes payable for $2020$ and $2021.$ Assume taxable income was

$$979,000$ in $2021.($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 $0$ for the amounts.$)$

Prepare the income tax expense section of the income statement for $2020,$ beginning with "Income before income taxes." $($Enter negative amounts using

either a negative sign preceding the number e$.$g$.-45$ or parentheses e$.$g$.(45).)$

Click if you would like to Show Work for this question: