Please answer by 11:59 pm ET and show work in Excel 1. Procter and Gamble has deferred tax liabilities due to depreciation on equipment and timing differences.

Procter and Gamble uses acclerated depreciation methods for taxes; it uses straight-line depreciation for financial accounting for the year ended 12/31/17.

After an increase in the federal tax rate from 21 to 23 %, the future taxable amount related to equipment is $35,000,000 at 12/31/17.

Calculate the deferred tax liability for Procter and Gamble at 12/31/17.

Use financial formulas in Excel and show your work. 2. Palmolive has $4,500,000 in income before taxes for 2015.

The income before taxes includes $400,000 of meal/entertainment expenses that are not tax deductible.

Palmolive also has timing differences:

a) Depreciation for tax purposes is higher than accounting depreciation by $200,000 b) Bad debts for financial accounting purchases aren't recognizable for tax = $75,000 c) Tax rate = 21%

Calculate the total tax expense in 2015 (financial reporting purposes).

Use Excel financial formulas and show your work.