Southlawn Inc $\quad$ $\quad$ $\quad$ $2,405,600
Net Permanent Differences $\quad$ $\quad$ (512,000 )
Net Temporary Differences

Southlawn Inc.'s taxable income is computed as follows:
Book income before tax $\quad$$\quad$$\quad$ $2,405,600
Net permanent differences $\quad$$\quad$ (512,000 )
Net temporary differences $\quad$$\quad$ (189,000 )
Taxable income $\quad$$\quad$$\quad$$\quad$$\quad$ $1,704,600
-Using a 21% rate, compute Southlawn's tax expense per books and tax payable.

A)  Tax expense per books $397,656; tax payable $357,966.
B)  Tax expense per books $357966; tax payable $397,656.
C)  Tax expense per books $612,570; tax payable $357,966.
D)  None of the above