Please I need help on this homework on Intermediate Accounting II ( U.S Accounting). See attachment

QUIZ 4 Denver Co. at the end of 20x1, its first year of operations, prepared reconciliation between pretax financial income and taxable income as follows: Pretax financial income Extra depreciation taken for tax purposes Estimated litigation expenses deductible for taxes when paid Rent collected on the tax return is greater than rent reported on the income statement by $220,000 Interest income from Denver municipal bonds $300,000 900,000 1,500,000 100,000 Use of the depreciable assets will result in taxable amounts of $300,000 in each of the next three years. The estimated litigation expenses of $1,500,000 will be deductible in 20x4 when settlement is expected. a) Compute the taxable income. b) Prepare the journal entry to record income tax expense, deferred taxes, and income taxes payable for 20x1, assuming a tax rate of 40% for all years