Rotan Corp. reported the following before-tax income statement items:

Operating income	$	570,000
Nonoperating losses		(83,000	)

Rotan has a 25% income tax rate. Rotan would report the following amount of income tax expense as a separately stated line item in the income statement:

Multiple Choice

• $13,500.

• $20,750.

• $135,250.

• $121,750.