a little stuck on this one. Any help will be appreciated. Thank you.

Q2. CT Manufacturing Company changed from the completed-contract to the percentage-of- completion method of accounting for long-term construction contracts during 2014. For tax purposes, the company employs the completed-contract method and will continue this approach in the future. (Hint: Adjust all tax consequences through the Deferred Tax Liability account.) The appropriate information related to this change is as follows. Pretax income from Percentage-of-Completion Completed Contract Difference 2013 S880,000 $500,000 $180,000 2014 800,000 560,000 40,000 Instructions G) Assuming that the tax rate is 40%, what is the amount of net income that would be reported in 2014? th) What entry(ies) are necessary to adjust the accounting records for the change in accounting prin- ciple