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F 38 \begin{tabular}{l|l|l|l|l} A & B & C \end{tabular} The following information is available for Remmers Corporation for 2025. 1. Depreciation reported on the tax retum exceeded depreciation reported on the income statement Difference Annual reversal in equal amounts over the years 2026 to 2029 2. Interest received on municipal bonds 3. Rent collected in advance on January 1, 2025 for a 3-year period Portion of rent reported as uneamed at December 31, 2025 for book purposes 4. Income tax nate for 2025 Income tax rate for 2026 and subsequent years 5. Income taxes due per the tax retum for 2025 6. No deferred taxes existed at the beginning of 2025. Instructions: (a) Compate taxable income for 2025. Income Tax Due Tax Rate (20\%) Taxable Income 156,000 780,000 (b) Compute pretax financial income for 2025. 31 32 33 34 (c) Prepare the joumal entries to record income tax expense, deferred income taxes, and income taxes payable for 2025 and 2026. Taxable income for 2026 36 37 38 39 40 41 42 43 44 46 47 48 49 50 51 (d) Prepare the income tax expense section of the income statement for 2025, beginning with "Income before income taxes." \begin{tabular}{|l|l|l|l|} \hline & & Dobit & Credit \\ \hline 2025 & Iscome Tax Expense & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline 2026 & & & \\ \hline & & & \\ \hline & & & \\ \hline & & \\ \hline \end{tabular} Use cell references to bring in numbers. Use cell references to bring in numbers. 52 53 54 55 56 57 58 59 60 61 Be sure to break income tax into current and deferred portions

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