XYZ Corporation reported taxable income of $91,500 for the current year. It has provided the following information for use in computing earnings and profits:

Dividends received (from 45% corporation) $10,000

Interest from tax-exempt municipal bonds 2,000

Depreciation, using accelerated cost recovery percentages under

MACRS (straight line, using ADS would have been $12,000) 15,000

Long-term capital gain 8,000

The corporations current earnings and profits before considering taxes is

	a. $99,500
	b. $103,000
	c. $106,500
	d. $102,500