$3.$ The records for Graham Co show this data for $2023$:

i$.$ Installment sales of $$350,000$ were recognized on the accrual basis for financial statement reporting. Only the $$210,000$ that was collected during $2023$ was recognized for tax purposes.

ii$.$ A penalty was paid for unpaid taxes in a previous year in the amount of $$1,500.$

iii. Machinery was acquired in January for $$175,000.$ Straight$-$line depreciation over a ten$-$year life $($no salvage value$)$ is used. For tax purposes, MACRS depreciation is used and Graham may deduct $14\%$ for $2023.$

iv$.$ Interest received on tax exempt Kansas state bonds was $$2,000.$

v$.$ The estimated warranty liability related to $2023$ sales was $$25,000.$ Repair costs under warranties incurred during $2023$ were $$17,000.$ The remainder will be incurred in $2024.$

vi$.$ Pretax financial income is $$325,000.$ The tax rate is $25\%.$