The income tax rate was 30% when Wee Geordie Ltd. (WGL) finalized its 20X6 financial statements. During 20X7, the tax rate was decreased to 28%, effective January 1, 20X7. Other information follows:
	Dec. 31, 20X6	Dec. 31, 20X7
Accounting base, depreciable assets	$190,000	$170,000
Tax base, depreciable assets	160,000	130,000
Accounting base, warranty liability	15,000	10,000
Accounting income before taxes		155,000
Taxable income		140,000
WGL did not purchase or dispose of any depreciable assets during the year.
What was the total amount of tax expense reported on WGLs statement of comprehensive income for the year ended December 31, 20X7?

a.

$38,900

b.

$43,100

c.

$35,300

d.

$43,700