Exeter corp. reports warranty expense by estimating the amount that eventually will be paid to satisfy warranties on its product sales. for tax purposes, the expense is deducted when paid. during its first year of operations, exeter reports pretax accounting income of $100,000. its income statement includes a $50,000 warranty expense that is deducted for tax purposes when paid in year 2 in the amount of $30,000 and year 3 in the amount of $20,000. exeter is subject to a tax rate of 40%. prepare the appropriate journal entry to record the company’s income tax expense for year 1. (if no entry is required for a transaction/event, select "no journal entry required" in the first account field.)

Exercise 4-9presented below is information related to martinez corp. for the year 2017.net sales $1,399,500 write-off of inventory due to obsolescence $80,440cost of goods sold 788,200 depreciation expense omitted by accident in 2016 43,600selling expenses 65,800 casualty loss 53,900administrative expenses 53,500 cash dividends declared 43,300dividend revenue 22,100 retained earnings at december 31, 2016 1,042,400interest revenue 7,420 effective tax rate of 34% on all items exercise 4-9 presented below is information relateexercise 4-9 presented below is information relate prepare a multiple-step income statement for 2017. assume that 61,500 shares of common stock are outstanding. (round earnings per share to 2 decimal places, e.g. 1.49.)prepare a separate retained earnings statement for 2017. (list items that increase retained earnings first.)