Solve for A, B, and C.

Detective controls are used to help prevent the occurrence of a misstatement. True False Lanco Corporation, an accrual-method corporation, reported taxable income of $1,500,000 this year. Included in the computation of taxable income were the following items: - MACRS depreciation of $253,500. Depreciation for earnings and profits purposes is $143,000. - A net capital loss carryover of $20,600 from last year. - A net operating loss carryover of $33,100 from last year. - $84,400 capital gain from the distribution of land to the compony's sole shareholder (see below). Not included in the computation of taxable income were the following items: - Tax-exempt inconts of $6,400. - Life insurance proceeds of $337,000. - Excess current-year charitable contribution of $5,100 (to be cartied over to next year)- - Tax-deferted gain of $21,900 on a like-kind exchange. - Nondeductible life insurance premium of $3,600. - Nondeductible interest expense of $2,700 on a loan used to buy tax-exempt bonds. Lanco's accumulated E\&P at the beginning of the year was $3,160,000. During the year, Lanco made the following distributions to its sole shareholder, Lulgi: - Tax-deferred gain of $21,900 on a like-kind exchange. - Nondeductible life insurance premium of $3,600. - Nondeductible interest expense of $2,700 on a loan used to buy tax-exempt bonds. Lanco's accumulated E\&P at the beginning of the year was $3,160,000. During the year, Lanco made the following distributions to its sole shareholder, Luigi: - June 30;$86,500. - September 30: Parcel of land with a fair market value of $96,000. Lanco's adjusted tax basis in the land was $11,600. Luigi assumed an existing mortgage on the property of $20,800. Required: a. Compute Lanco's crrent E\&P. b. Compute the amount of dividend income reported by Luigi this year because of the distributions. c. Compute Lanco's accumulated E\&P at the beginning of next year