Information for Hobson Corp. for the current year ($ in millions): $185 40 Income from continuing operations before tax Loss on discontinued operation (pretax) Temporary differences (all related to operating income) : Accrued warranty expense in excess of expense included in operating income Depreciation deducted on tax return in excess of depreciation expense Permanent differences (all related to operating income): Nondeductible portion of entertainment expense 20 45 7 The applicable enacted tax rate for all periods is 25%. What should Hobson report as net income? Multiple Choice O $107 million $57 million. O $97 million $135 million O