What is the ending balance in the deferred tax liability account related to these installment sales at the end of Year 1?

SWFT Comprehensive Volume 2019
42nd Edition
ISBN:9780357233306
Author:Maloney
Publisher:Maloney
Chapter16: Accounting Periods And Methods
Section: Chapter Questions
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Sicora Inc. reported installment sales totaling $670,000 in its income statement for Year 1, its first year of operations. Sicora is not required to report installment sales income on its tax return until the cash is collected. Sicora will make the collections on these installment sales as follows:

       
Year 1 $ 70,000  
Year 2   130,000  
Year 3   140,000  
Year 4   160,000  
Year 5   170,000  
Total $ 670,000  
 


The enacted tax rate is 30% in each of these years. What is the ending balance in the deferred tax liability account related to these installment sales at the end of Year 1?
 

deferred tax liability: 
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