Boilemaker In E&P

Boilermaker Inc. reported taxable income of $690,000 this year and paid federal income taxes of $234,600. Not included in the companys computation of taxable income is tax-exempt income of $31,750, disallowed meals and entertainment expenses of $53,250, and disallowed expenses related to the tax- exempt income of $1,900. Boilermaker deducted depreciation of $174,000 on its tax return. Under the alternative (E&P) depreciation method, the deduction would have been $66,750. Compute the companys current E&P.