Noventis Corporation prepared the following estimates for the four quarters of the current year. First Second Third Fourth Quarter Quarter Quarter Quarter Sales $ 1,200,000 $ 1,440,000 + 1,680,000 $ 1,920,000 Cost of goods sold 420,000 500,000 570,000 620,000 Administrative costa 290,000 175,000 180,000 190,000 Advertising costa 0 180,000 0 0 Executive bonusea 0 0 0 68,000 Provision for bad debts 0 0 60,000 Annual maintenance coats 68,000 Additional Information First-quarter administrative costs include the $140,000 annual insurance premium. Advertising costs paid in the second quarter relate to television advertisements that will be broadcast throughout the entire year. No special items affect income during the year. Noventis estimates an effective Income tax rate for the year of 40 percent. .. Assuming that actual results do not vary from the estimates provided, determine the amount of net income to be reported each quarter of the current year b. Assume that actual results do not vary from the estimates provided except for that in the third quarter, the estimated annual effective income tax rate is revised downward to 38 percent. Determine the amount of net income to be reported each quarter of the current year Answer is complete but not entirely correct. Net Income $501,000 636,000 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter 801,000 981.000 b. $300,600 381,600 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter 496,620 608,220