(a) Complete the following income statements for the year ended December 31, 2010, by calculating the missing information.

(b) Assuming there are no adjustments from the income statements to the tax return, calculate the income tax rate for each company.
(c) Provide a reason why company D has a negative income tax expense.

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A Company B Company CCompany DCompany E Company 500,000 Sales Cost of goods sold Gross profit Expenses: Selling expenses Administrative expenses Depreciation expense Total expenses EBIT Interest expense EBT Income tax expense Net income 850,000 7,000,000 00,000300,000 125,000 3,500,000 350,000 225,000 85,000 125,000 45,000 475,000 150,000 50,000 80,000 40,000 70,000 60,000 60,000 1,500,000 800,000 - 400,000 30,000 20,000 800,000 100,000 10,000 50,000 50,000 4,000 0,000_ (6,000) 51,000 420,000