Willfred Company has pretax GAAP income of $500,000 in 2020, its first year of operations. Willfred has depreciation expense in 2020 for GAAP purposes that is $300,000 less than the amount of depreciation expense for tax purposes. In addition, $25,000 of regulatory fines included in the determination of pretax GAAP income are not tax deductible. Willfred Company's tax rate is 25%. Required: a) Prepare any journal entries necessitated by the given information as of December 31, 2020. The entry or entries need to be in proper form and show all calculations, using words to describe each item, as part of the explanations. Round to whole dollars and two places for percentages. b) Show how all tax-related items would be reported on the 2020 income statement beginning with "Income or (Loss) before income taxes" and ending with "net income or (loss). Make sure you show the current income tax expense separately from the deferred income tax expense. Show how all tax-related items would be reported on the 2020 classified balance sheet. Indicate clearly whether each asset or liability item is current or noncurrent