to answer questions 10-12 ons Company deducts insurance ognized for accounting purposes. In 2019, 2020, and 2021, no insurance expense will be deducted for tax expense of $210,000 for tax purposes in 2018, but the expense is not yet purposes, but $70,000 of insurance expense will be reported for accounting purposes in each of these years. Lyons Company has a tax rate of 40% and income taxes payable of S 180 000 at the end of 2018 There were no deferred taxes at the beginning of 2018. 10. Assuming that income taxes payable for 2019 is $240,000, the income tax expense for 2019 would be what amount? A) $212,000 B) $324,000 C) $268,000 D) $240,000 11. What is the amount of income tax expense for 20187 A) $180,000 B) $210,000 C) $264,000 D) $252,000 What is the amount of the deferred tax liability at the end of 20187 A) $0 B) $30,000 C) $84,000 D) $72,000 12. 13. Tanner, Inc. incurred a financial and taxable loss for 2018. Tanner therefore decided to use the carryback provisions as it had been profitable up to this year. How should the amounts related to the carryback be reported in the 2018 financial statements? A) The refund claimed should be reported as a deferred charge and amortized over five years. B) The refund claimed should be reported as revenue in the current year. C) The refund claimed should be shown as a benefit due to loss carryback in 2018. D) The reduction of the loss should be reported as a prior period adjustment