13. In 2020, Newco reported book income of $380,000. Included in that amount was $50,000 in municipal bond interest, $170,000 in Federal income tax expense, $2,000 in interest expense incurred in carrying New Hampshire highway bonds; and a $1,000 net long term capital loss. What would be Newco's taxable income as reconciled on schedule M-1 of its 1120 tax return? I a. $330,000 b. $500,000 c. $502,000 d. $550,000 e. $503,000

13. In 2020 , Newco reported book income of $380,000. Included in that amount was $50,000 in municipal bond interest, $170,000 in Federal income tax expense, $2,000 in interest expense incurred in carrying New Hampshire highway bonds; and a $1,000 net long term capital loss. What would be Newco's taxable income as reconciled on schedule M-1 of its 1120 tax return? a. $330,000 b. $500,000 c. $502,000 d. $550,000 e. $503,000