Corporation tax — associated companies and the limits

Two companies, each UK-resident and trading, are under the control of the same individual and so are associated companies of one another for corporation tax purposes. For the financial year 2026/27 one of them, Company A, has taxable total profits of £40,000, all trading income. Company A has no losses brought forward and no qualifying charitable donations. A solicitor is asked whether Company A pays tax at the small profits rate of 19%, given that £40,000 is below £50,000. Which of the following best states the position?