Information for Hobson Corp. for the current year ($ in millions):
 

Income from continuing operations before tax	$	440
Loss on discontinued operation (pretax)		108
Temporary differences (all related to operating income):
Accrued warranty expense in excess of expense included in operating income		105
Depreciation deducted on tax return in excess of depreciation expense		215
Permanent differences (all related to operating income):
Nondeductible portion of entertainment expense		24

 

The applicable enacted tax rate for all periods is 25%.

 

How should Hobson report tax on the discontinued operation?