1. At December 31, 2017, temporary differences were associated with the following future taxable (deductible) amounts: Depreciation Prepaid expenses Warranty expenses 2. No temporary differences existed at the beginning of 2017. $60,000 17,000 (12,000) 3. Pretax accounting income was $80,000 and taxable income was $15,000 for the year ended December 31, 2017. 4. The tax rate is 40%. Required: Determine the amounts necessary to record income taxes for 2017 and prepare the appropriate journal entry.