The accounting records of Flint Ine, show the following data for 2025: 1. Life insurance expense on officers was $7,000. 2. Equipment was acquired in early January for $441,000. Straight-line depreciation over a 6-year life is used, with no salvage value. For tax purposes, Flint used a 30% rate to calculate depreciation. 3. Interest revenue on municipal bonds totaled $3,400. 4. Product warranties were estimated to be $87,000 in 2025. Actual repair and labor costs related to the warranties in 2025 were $24,000. The remainder is estimated to be paid evenly in 2026 and 2027. 5. Sales on an accrual basis were $518,000. For tax purposes, $399,000 was recorded on the installment-sales method. 6. Fines incurred for securities violations were $11,000. 7. Pretax financial income was $482,000. The tax rate is 30%