Squawk Box Company (Squawk Box), a C corporation, started business in 2011. Squawk Box used the cash method for financial and tax reporting purposes for years 2011 through 2018. During years 2011 through 2014, annual gross receipts did not exceed $5,000,000; however, in 2015 annual gross receipts were $18,375,000; in 2016 they were $22,750,000, in 2017 they were $27,125,000 and in 2018 they were 27,212,500. (See Table 1 below) If determined using the accrual method, Squawk Boxs books at the start of tax year 2018 would show the following: Accounts Receivable, $825,000; Accounts Payable, $450,000; and Inventory, $605,000; and at the start of tax year 2019 would show: Accounts Receivable, $950,000; Accounts Payable, $480,000; and Inventory, $650,000. In 2019 Squawk Box has gross receipts of $27,250,000 determined using the accrual basis of accounting

1. Prepare an excel worksheet calculating any IRC 481 adjustment and determining the total taxable income that Taxpayer will recognize.