Elena works in the audit department of a practice as an audit administrator. she assists the audit teams by recording and processing audit evidence collected by her colleagues on audit assignments. as she is not one of the operational members of the audit team, she finds it quite difficult to get close to her senior colleagues who sometimes treat her as an ‘outsider’, and often fail to interact with her socially.

during a quiet period at work, elena spends a few hours using the internet to browse job vacancies. she then submits her résumé to a number of prospective employers.

Martinez company has the following two temporary differences between its income tax expense and income taxes payable. 2017 2018 2019 pretax financial income $873,000 $866,000 $947,000 (2017' 2018, 2019) excess depreciation expense on tax return (29,400 ) (39,000 ) (9,600 ) (2017' 2018, 2019) excess warranty expense in financial income 20,000 9,900 8,300 (2017' 2018, 2019) taxable income $863,600 $836,900 $945,700(2017' 2018, 2019) the income tax rate for all years is 40%. instructions: a. prepare the journal entry to record income tax expense, deferred income taxes, and income taxes payable for 2017, 2018, and 2019. b. assuming there were no temporary differences prior to 2016, indicate how deferred taxes will be reported on the 2016 balance sheet. button's warranty is for 12 months. c. prepare the income tax expense section of the income statement for 2017, beginning with the line, "pretax financial income."