Question - Lantos Company had a 40 percent tax rate. Given the following pre-tax amounts, what would be the income tax expense reported on the face of the income statement?
Sales revenue $ 300,000
Cost of goods sold 180,000
Salaries and wages expense 24,000
Depreciation expense 33,000
Dividend revenue 27,000
Utilities expense 3,000
Extraordinary loss 30,000
Interest expense 6,000
A) $9,600
B) $32,400
C) $20,400
D) $21,600