Reed Corporation reports 2017 sales of $415 million, income before income taxes of $122.3 million and tax expense of $35.9 million.
If sales are projected to increase by 4% next year, projected tax expense for 2018 will be:
A. $35.9 million
B. $37.3 million
C. $40.8 million
D. $42.3 million
E. There is not enough information to determine the amount.