1.Alex co, a calendar-year corporation, reported income before income tax expense of $40,000 for the first quarter of Year 5. The statutory tax rate for Year 5 is 20%. Alejo's effective annual income tax rate for Year 4 was 18%. As of the first quarter of Year 5, Alejo calculated its first quarter effective tax rate to be 15% and estimates its Year 5 ETR will be 12%. What amount should Alejo report as income tax expense in its interim income statement for the first quarter of Year 5?

A) 7,200

B) 8,000

C) 4,800

D) 6,000