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JM, Inc (a calendar year, accrual basis taxpayer) had the following transactions in 2021, its second year of operation: Taxable Income $500,000 Federal Income Tax

JM, Inc (a calendar year, accrual basis taxpayer) had the following transactions in 2021, its second year of operation:

Taxable Income

$500,000

Federal Income Tax Liability Paid

50,000

Non-Deductible Bribes

$5,000

Excess charitable contribution

$15,000

MACRS deduction

$20,000

Straight line depreciation using ADS lives

$10,000

Dividends received from domestic corporations (50% owned)

$100,000

In addition, JM paid a cash dividend in the amount of $200,000 at the end of the year.

Required: What is JMs current E&P for 2021?

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