Use the following information to answer the next 3 clues In 2020 (its first year of operations). ABC generated a net operating loss of $20,000. In 2021, earnings before taxes is $184,300. Assume a tax rate of 21% 18. Tax payable for 2021 is 19. The associated deferred tax account is reduced by in 2021 20. Tax expense for 2021 is 21. XYZ purchased a machine for $400,000 with a useful life of 10 years and no salvage value. XYZ leases the machine to ABC under an operating lease. ABC pays $114,500 in rental payments per year. The lease increases XYZ's annual net income by 22. On January 1. ABC signed a 5-year finance lease requiring annual payments of $10.840 beginning immediately. Appropriately discounted at 5%, the PV of lease payments is $49.278. Interest expense accrued on December 31 of the first year is 23. ABC leased a building from XYZ. The lease transfers legal ownership to ABO at lease-end. The present value of lease payments is $275,137 at signing. The useful life of the asset is 10 years and the lease term is 5 years. ABC's amortization expense in year 1 of the lease is Use the following information to answer the next 2 clues. A lease agreement calls for annual payments of $56,979 over a 8-year period (also the asset's useful life). The lease is signed January 1, 20X1 with the first payment due on that date. The interest rate is 8%, and the PV of lease payments is $284.480. The lessor manufactured the asset at a cost of $270,000. 24. In year 20X1. the lease decreases the lessee's net income by 25. In year 20X1, the lease increases the lessor's net income by