Problem 14-27 (Algorithmic) (LO. 1, 3) Rubio, Inc., an accrual basis C corporation, reports the following amounts for the tax year. The applicable income tax rate is 30% (combined Federal, state, and global). Book income, including the items below $245,000 Interest income from City of Westerville bonds 24,500 Bribes paid to Federal inspectors 49,000 73,500 Liability for anticipated warranty costs (beginning of year) Liability for anticipated warranty costs (end of year) 98,000 a. Indicate whether the following items create temporary or permanent differences. Increase in book allowance for anticipated warranty costs Temporary Interest income from City of Westerville bonds Permanent Bribes paid to Federal inspectors Permanent b. Rubio's current income tax expense is $ X. Feedback Check My Work Many differences exist between book and tax accounting methods. Some are simply temporary differences. Others are permanent differences, with items appearing in the financial statement or the tax return, but not both