David files his tax return 45 days after the due date. Along with the return, David remits a check for $40,000, which is the balance of the tax owed. Disregarding the interest element, David's total failure to file and to pay penalties are: Failure to pay penalty [0.5% x $40,000 x 2 (two months violation)] $ 400 Plus Failure to file penalty [5% x $40,000 x 2 (two months violation)] $4,000 Less: Failure to pay penalty Total penalties Failure to pay penalty [0.5% x $40,000 x 2 (two months violation)] (400) 3.600 $4,000 $400 Plus: Failure to file penalty [5% x $40,000 2 (two months violation)] $4,000 Less: Failure to pay penalty (400) 3.600 Total penalties $4.000 Failure to pay penalty [0.5% x $40,000 2 (two months violation)) x $400 Plus: Failure to file penalty [5% x $40,000 2 (two months violation)] $4,000 Less: Failure to pay penalty (400) 3.600 Total penalties $4.000 Oa. $400. Ob. $3,600. Oc. $4,000. Od. $4,400 Oe. None of these.