a$.$ What is Ward's taxable income?

b$.$ What is Ward's current earnings and profits $($E&P$)?$

Requirement a$.$ What is Ward's taxable income?

$\backslash$table$[[$Gross profit from manufacturing operations,,$ $270,000],[$Dividends$,,12,000],[$Interest$,,8,000],[$Net capital gain$/($loss$),,290000],[$Total income $($Form $1120,$ Line $11),,290000],[$Minus:$,$Administrative expenses,$100,000,],[$Bad debts,$4,000,],[$Depreciation$,65000,169000],[$Taxable income before special deductions,,$121000],[$Charitable contributions,,$30000],[$Dividends$-$received deduction,,$12000],[$NOL deduction $($carryover$),,],[$Taxable income,,$79000]]$