Copper Co. reported a net operating loss of $70,000 in Year 2, which it was able to carryforward to Year 3. Coppers income before income tax expense of $130,000 for Year 3. Copper had no permanent or temporary timing differences for tax purposes. Copper has an effective tax rate of 30%. What is the income tax benefit Copper can realize from the loss carryforward for Year 2?

• A.

  $21,000

• B.

  $70,000

• C.

  $60,000

• D.

  $18,000