Chapter 16 Assignment 2 Ayres Services acquired an asset for $120 million in 2018. The asset is depreciated for financial reporting purposes over four years on a straight-line basis (no residual value) For tax purposes the asset's cost is depreciated by MACRS. The enacted tax rate is 40%. Amounts for pretax accounting income, depreciation, and taxable income in 2018, 2019, 2020, and 2021 are as follows 8.33 points (S in millions) 202e 2019 2018 2021 500 Pretax accounting income Depreciation on the income $ 430 $ 450 $ 465 30.0 30.e 30.0 30.0 eBook statement (35.0) (43.0) (17.0) (25.0) $ 470 $513 Depreciation on the tax return 4D Taxable income $ 425 437 Hint Required: Determine (a) the temporary book-tax difference for the depreciable asset and (b) the balance to be reported in the deferred tax liability account. (Leave no cell blank, enter "O" wherever opplicable. Show all amounts as positive emounts. Enter your enswers in millions rounded to 1 decimel place (ie., 5,500,000 should be entered as 5.5).) References Beginning of 2018 End of 2018 End of 2019 End of 2020 End of 2021 Temporary Difference Deferred Tax Liability