Bjork, a calendar year company, has the following income before income tax provision
and estimated effective annual income tax rates for the first three quarters of 2017:
Income Before Estimated Effective
Income Tax Annual Tax Rate
Quarter Provision at the End of Quarte
First $120,000 25%
Second 160,000 25%
Third 200,000 30%
Bjork's income tax provision in its interim income statement for the third quarter should
be
A) $74,000.
B) $60,000.
C) $50,000.
D) $144,000.