The records for Dulcinea Co show this data for 2019: i. $600,000 was collected from customers in 2019, but only $550,000 was earned according to GAAP. ii. Life insurance premium paid on officers was $4,500 (Company is beneficiary). iii. Machinery was acquired in January for $550,000. Straight-line depreciation over a ten-year life (no salvage value) is used. For tax purposes, MACRS depreciation is used and Dulcinea may deduct 14% for 2019. iv. Interest received on tax exempt Kansas State bonds was $12,000. V. $70,000 was accrued as estimated litigation expenses. It will not be paid until the lawsuit is finalized. vi. Pretax financial income is $700,000. The tax rate is 30%. Required: a. Prepare a schedule starting with pretax financial income and compute taxable income. b. Prepare the journal entry to record Income Taxes for 2019