1. During 20X3, X co. reported the following items:

Gross income from operations $2,000,000

Dividends received from Z co. (39% owned by X co.) 200,000

Dividends received deduction <160,000>

Ordinary business expenses <600,000>

Contributions to capital 90,000

Federal income tax paid <110,000>

Federal income tax refund 15,000

Taxexempt Income 85,000

Charitable contributions 83,000

Capital gains 60,000

Capital losses <80,000>

Capital loss carry forward from 20X2 <122,000>

Accelerated depreciation in excess of straight line <96,000>

Determine X co.s current earnings and profits in 20X3.