TGW, a calendar year corporation, reported $4,040,000 net income before tax on its financial statements prepared in accordance with GAAP. The corporations records reveal the following information: TGWs depreciation expense per books was $459,000, and its MACRS depreciation deduction was $383,400. TGW capitalized $689,000 indirect expenses to manufactured inventory for book purposes and $824,000 indirect expenses to manufactured inventory for tax purposes. TGWs cost of manufactured goods sold was $2,568,000 for book purposes and $2,660,000 for tax purposes. Four years ago, TGW capitalized $2,316,000 goodwill when it purchased a competitors business. This year, TGWs auditors required the corporation to write the goodwill down to $1,555,000 and record a $761,000 goodwill impairment expense.