The pretax financial income of Truttman Company differs from its taxable income throughout each of 4 years as follows. Year 2020 Pretax Financial Income $290,000 320,000 350.000 420,000 2021 2022 2023 Taxable income $180,000 225,000 260,000 560,000 Tax Rate 35 % 20 % 20 % 20% Pretax financial income for each year includes a hondeductible expense of $30,000 (never deductible for tax purposes). The remainder of the difference between pretax financial income and taxable income in each period is due to one depreciation temporary difference. No deferred income taxes existed at the beginning of 2020. Your answer is partially correct. Prepare journal entries to record income taxes in all 4 years. Assume that the change in the tax rate to 20% was not enacted until the beginning of 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.) 2020 Income Tax Expense 112000 Deferred Tax Liability 49000 Income Tax Payable 63000 2021 Income Tax Expense 7000 7000 Deferred Tax Liability (To record the adjustment for the decrease in the enacted tax rate.) Income Tax Expense 140000 Deferred Tax Liability 50000 90000 Income Tax Payable (To record income taxes for 2021.) 2022 Income Tax Expense 152000 Deferred Tax Liability 48000 Income Tax Payable 104000 2023 Income Tax Expense 180000 Deferred Tax Liability 44000 Income Tax Payable 224000 Prepare the income statement for 2021, beginning with income before income taxes. (Enter negative amounts using either negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Truttman Company Income Statement (Partial) December 31, 2021 Income before income Taxes 320000 Income Tax Expense Current I TA 90000 Deferred 57000 147000 Net Income /(Loss) 173000