The following information relates to a calendar year, accrual basis Corporation taxpayer.

1. Determine the amount of the corporation's taxable income for the year.

Net Income per books (after tax) Federal Income tax expense per books Interest income from tax-exempt bonds Depreciation per books Depreciation per MACRS Premium paid on life insurance for president of corporation $12,000 Excess cap $275,000 $54,000 $31,000 $26,000 $29,000 ital losses over capital gain $7,000