Rapidpro Inc

Rapidpro Inc.had more than $1,000,000 of taxable income two years prior to the current year.It would like to use its prior-year tax liability (which was very low but above zero) to determine its quarterly estimated payments this year.Which of the following statements is true?

A) Rapidpro may use the prior-year tax liability to determine its first- and second-quarter estimated tax payments only since it is a large corporation.
B) To avoid penalty, the second-quarter estimated payment must be large enough to cover 50 percent of its estimated annual tax liability annualized from its first-quarter estimated taxable income (assume it does not rely on its current-year actual tax liability to determine its estimated tax payment) .
C) To avoid penalty, the third-quarter estimated payment must be large enough to cover 50 percent of its estimated annual tax liability annualized from its third-quarter estimated taxable income (assume it does not rely on its current-year actual tax liability to determine its estimated tax payment) .
D) None of these choices are true.