Gator Inc. reported taxable income of $1,300,000 this year and paid federal income taxes of $273,000. Included in the company's computation of taxable income is gain from the sale of a depreciable asset of $54,500. The income tax basis of the asset was $109,000. The E&P basis of the asset using the alternative depreciation system was $188,900. Compute the company's current E&P. (Negative amount should be indicated with a minus sign.) Answer is complete but not entirely correct. Taxable income Federal income taxes E&P loss from sale of asset Regular tax gain from sale of asset Current E&P $ 1,300,000 (273,000) 54,500 (25,400) $ 1,056,100