A consumer electronics company was formed to develop cell phones that run on or are recharged by fuel cells. The company purchased a warehouse and converted it into a manufacturing plant for  $8,000,000. It completed installation of assembly equipments worth $1,100,000 on December 31st. The plant began operation January 1st. The company had a gross income of $8,4000 for the calendar year. Manufacturing costs and all operating expenses, excluding the capital expenditures, were $2,320,000. The depreciation expenses for capital expenditures amounted to $449,000.

Compute the taxable income of this company

b) How much will the company pay in federal income tax for the year? Find the average tax rate for the company.