Julio, Inc. earns pretax book net income of $312,000 in 2016. For that year, Jolio deducted $8,300 in bad debt expense for book purposes. This expense is not yet deductible for tax purposes. Julio reports $206,000 of pretax book net income in 2017. Julio did not deduct any bad debt expense for book purposes but did deduct $6,100 in bad debt expense for tax purposes. Julio has no other temporary or permanent differences.

Assume the U.S. tax rate is 35%.

For 2017, compute the following for Julio, Inc.

a. Current income tax expense $____________

b. Deferred income tax benefit $____________

c. Total income tax expense $____________