Essex Corporation has the following activity this year: Essex owns 10\% of Catullan Corporation. In addition to the transactions listed above, Essex placed assets in service two years ago at a cost of $200,000 and took Section 179 depreciation on the entirety of the cost. Lastly, this year Essex sold property on installment for $300,000, with a basis of $205,000. No proceeds were received in the current year. Kimberly and Whitnee are the two shareholders of Essex. They each receive distributions of $450,000 at the end of the year. Kimberly's basis in her shares is $85,000, Whitnee's basis is $52,000. Please calculate Essex's taxable income, federal income tax paid, E\&P, and the treatment of the distributions to Kimberly and Whitnee this year, including their ending basis in the shares. (45 points)