Oriole Co. at the end of 2020, its first year of operations, prepared a reconciliation between pretax financial income and taxable income as follows:

Pretax financial income	$2505000
Estimated litigation expense	3505000
Extra depreciation for taxes	(5514000)
Taxable income	$ 496000

The estimated litigation expense of $3505000 will be deductible in 2021 when it is expected to be paid. Use of the depreciable assets will result in taxable amounts of $1838000 in each of the next 3 years. The income tax rate is 20% for all years. Income taxes payable is

A. $401800.

B. $0.

C. $601800.

D. $99200.

Please show work