Pretax financial income for Mott Inc. is $300,000, and its taxable income is $100,000 for 2007. Its only temporary difference at the end of the period relates to a $90,000 difference due to excess depreciation for tax purposes. If the tax rate is 40% for all periods, compute the amount of income tax expense to report in 2007. No deferred income taxes existed at the beginning of the year.