_____ Dobbco Is Subject to a 10% State Corporate Income

_____ Dobbco is subject to a 10% state corporate income tax rate and a 40% federal income tax rate. For 2006, Dobbco expects to have federal research and development credits of $60,000. Dobbco's estimated pretax income for 2006 is $2,000,000. What is Dobbco's combined estimated income tax rate for 2006 that it would use for calculating the income tax expense for the first quarter of 2006?

A) 40%
B) 43%
C) 47%
D) 48.5%
E) 50%