The the information that follows pertains to Julia company

Temporary temporary differences for the year 2018 or summarized below.

Expenses expenses deducted from your tax return but not included in the income statement:

Depreciation. $50,000

Prepaid expense. $ 7,000

Expense expense is reported in the income statement but not deducted in the tax return:

Warranty expense. $8,000

No no temporary differences existed at the beginning of 2018.

Pretax accounting income was $56,000 in taxable income was $7,000 for 2018.

There were there were no permanent differences

The tax rate the tax rate is 30%

1. Prepare the prepare the journal entry to record the tax provision for 2018