Greenview Corporation reported pretax book income of $800,000 in 2018. During the current year, the reserve for warranties increased by $25,000. In addition, tax depreciation exceeded book depreciation by $100,000. Finally, the corporation incurred a non-deductible premium of $10,000 related to an insurance policy on the life of one of its officers. Compute the corporation's net deferred income tax expense or benefit for 2018 would be:

Multiple Choice

• A net deferred tax benefit of $17,850.
• A net deferred tax expense of $15,750.
• A net deferred tax benefit of $15,750.
• A net deferred tax expense of $17,850.