3. Bell Inc. reports bad debt expense using the allowance method. For tax purposes the direct write-off method is used. At the end of the current year, Bell has accounts receivable and an allowance for uncollectible accounts of $10,000,000 and $500,000, respectively, and taxable income of $50,000,000. At the beginning of the current year, Bell reported a deferred tax asset of $210,000 related to the difference in reporting bad debts, its only temporary difference. The enacted tax rate is 40% each year.

Required: Prepare the appropriate journal entry for Bell to record the income tax provision for the current year. Show well-labeled computations to support the three amounts in your journal entry.