Exercise 16-29 Tax credit; uncertainty regarding sustainability (LO16-9) Delta Catfish Company has taken a position in its tax return to claim a tax credit of $28 million (direct reduction in taxes payable) and has determined that its sustainability is more likely than not," based on its technical merits. Delta has developed the probability table shown below of all possible material outcomes. Probability Table ($ in millions) Amount of the tax benefit that management expects to receive Percentage likelihood that the tax benefit will be sustained at this level $28 10% $22.4 20% $16.8 25% $11.2 20% $5.6 25% Delta's taxable income is $103 million for the year. Its effective tax rate is 40%. The tax credit would be a direct reduction In current taxes payable. Required: 1. At what amount would Delta measure the tax benefit in its Income statement? 2. Prepare the appropriate Journal entry for Delta to record Its Income taxes for the year. Complete this question by entering your answers in the tabs below. Required 1 Required 2 At what amount would Delta measure the tax benefit in its income statement? (Enter your answer in millions and round your answer to 1 decimal places.) Tax benefit million Required 1 Required 2 > Required 1 Required 2 Prepare the appropriate journal entry for Delta to record its income taxes for the year. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5).) View transaction list Journal entry worksheet Record income taxes. Note: Enter debits before credits. Event General Journal Debit Credit Record entry Clear entry View general journal