Required: 0. Calculate the effective annual tox rate expected at the end of the second quarter for Chris incorporated. b. Prepare the income statement for the second quarter of 202 Your solution should include a computation of income tax (or benefit): Complete this question by entering your answers in the tabs below. Prepare the income statement for the second quarter of 202. Chris incorporated has accumulated the following information for its secand-quarter income statement for 202. Additional Information 1. First-quarter income before taxes wos $114,000, and the estimated effective annual tox rate was 40 percent At the end of the second quarter, expected annual income is $680,000, and a dividend exclusion of $38,000 and a business tax credit of $15,000 are antipated. The combined stote and federal tox rate is 50 percent. 2. The $434,000 cost of goods sold is determined by using the LiFO method and includes 7,500 units from the bose layer at a cost of $12 per unit. However, you have determined that these units are expected to be replaced ot a cost of $26 per unit. 3 The operating expenses of $244,000 include a $74,000 foctory rearrangement cost incurred in April, You have determined that the second quarter will recelve about 25 percent of the benefits from this project with the remainder benefiting the third and fourth quarters. Required: a. Calculate the effective onnual tax rate expected at the end of the second quarter for Chris Incorporated. b. Prepare the income statement for the second quarter of 202 Your solution should include a computation of income tax (or benefit) Complete this question 17 entering vour answers in the tabs below. Calculate the effective annual tax rate expected at the end of the second quarter for Chris Incorporated. Required: 0. Calculate the effective annual tax rate expected at the end of the second quarter for Chris incorporated. b. Prepare the income statement for the second quarter of 202 Your solution should include a computation of income tax (or benefit) Complete this question by entering your answers in the tabs below. Your solution should include a computation of income tax (or benefit)