Duck, an accrual basis corporation, sponsored a rock concert on December 29, 2017. Gross receipts were $300,000. The following expenses were incurred and paid as indicated: Expense Rental of coliseum Cost of goods sold: Food Payment Date December 21, 2017 December 30, 2017 December 30, 2017 January 5, 2018 February 1, 2018 $ 25,000 30,000 Souvenirs Performers 100,000 Cleaning of coliseum 10,000 60,000 Because the coliseum was not scheduled to be used again until January 15, the company with which Duck had contracted did not perform the cleanup until January 810, 2018. a. Calculate Ducks net income from the concert for tax purposes for 2017. b. Using the present value tables in Appendix G, what is the true cost to Duck if it had to defer the $100,000 deduction for the performers until 2018? Assume a 5% discount rate and a 25% marginal rate in 2017 and 2018.