In $2023,$ Vaughn Ltd$.,$ which follows IFRS, reported accounting income of $$1,016,000$ and the

$2023$ tax rate was $20\%.$ Vaughn had two timing differences for tax purposes:

CCA on the company's tax return was $$499,500.$ Depreciation expense on the financial statements

was $$319,500.$ These amounts relate to assets that were acquired on January $1,2023,$ for

$$1,998,000.$

Accrued warranty expense for financial statement purposes was $$138,900($accrued expenses are

not deductible for tax purposes$).$ This is the first year Vaughn offers warranties.

Both of these timing differences are expected to fully reverse over the next four years, as follows:

Instructions:

a$.$ Calculate income taxes payable for $2023.$

b$.$ Prepare the journal entry to record current income taxes for $2023.$

c$.$ Prepare the journal entry to record deferred income taxes for $2023.$

d$.$ In $2024$ the government announced a further tax rate reduction will be effective for the

$2027$ taxation year. The new rate will be $15\%.$ Prepare the journal entry to adjust deferred

taxes for the reduced rate.