Summer Corporation reports warranty expense by estimating the amount that eventually will be paid to satisfy warranties on its product sales. For tax purposes, the expense is deducted when the cost is incurred. At December 31, 2018, Summer has a warranty liability of $1 million and taxable income of $50 million. At December 31, 2017, Summer reported a deferred tax asset of $600,000 related to this difference in reporting warranties, its only temporary difference. The enacted tax rate is 40% each year. Income tax expense for year 2018 should be:

a. $19.6 million b. $20 million c. $20.2 million d. $20.6 million