Exhibit 19-1 on December 31, 2009, Fort Stockton, Inc $\begin{array}{ll}2010 & \$ 50,000 \\2011 & 40,000 \\2012 & 30,000 \\2013 & 60,000\end{array}$

Exhibit 19-1 On December 31, 2009, Fort Stockton, Inc.had no temporary differences that created deferred income taxes.On January 2, 2010, a new machine was purchased for $30, 000.Straight-line depreciation over a four-year life (no residual value) was used for financial accounting.Depreciation expense for tax purposes was $11, 000 in 2010, $9, 000 in 2011, $6, 000 in 2012, and $4, 000 in 2013.In each year, the income tax rate was 20% and Fort Stockton had no other items that created differences between pretax financial income and taxable income.Fort Stockton reported the following pretax financial income for 2010 through 2013:
$\begin{array}{ll}2010 & \$ 50,000 \\2011 & 40,000 \\2012 & 30,000 \\2013 & 60,000\end{array}$

- Refer to Exhibit 19-1.The entry to record income taxes on December 31, 2011, would include a

A) debit to Deferred Tax Liability for $300
B) credit to Income Taxes Payable for $8, 000
C) debit to Income Tax Expense for $7, 700
D) credit to Deferred Tax Liability for $300