12. Nickerson Corporation began operations in 2019. There have been no permanent or temporary differences to account for since the inception of the business. The following data are available:

Year 2019 2020 2021 2022

Enacted Tax Rate 35% 30% 25% 20%

Taxable Income $2,000,000 2,400,000

Taxes Paid $700,000 720,000

In 2021, Nickerson had an operating loss of $2,480,000. What amount of income tax benefits should be reported on the 2021 income statement due to this loss assuming that it uses the carryback provision?

a. $844,000

b. $748,000

c. $744,000

d. $496,000