Your client is Pizza King Corporation, an accrual basis taxpayer. In 2022, their financial statement net income (book income) was $1,250,000. They have the following items of expense included in their financial statement net income for 2022: ·

Pizza King made a lease payment in February 2022 for the period March 1, 2022 - February 28, 2023 for $60,000 ($5,000/month for financial accounting) ·Pizza King received an advanced payment of $3,600 for pizza delivery services for 18 months from September 2022 to February 2024 ($200/month for financial accounting). Pizza King did not make an election to defer the recognition of unearned income. ·Pizza King received municipal bond interest income of $30,000. ·Pizza King took out a loan of $100,000 to acquire the municipal bond and paid $10,000 of interest on that loan during the year. ·Pizza King spent $15,000 throwing a Superbowl party. All employees were invited to this party. ·Pizza King accountants often worked late in order to close the books in time for the quarter end. A designated employee would pick up food from a restaurant or a grocery store and bring it back to the office, where the employees would eat together. Pizza King spent $6,000 on meals from restaurants and $7,000 on meals from grocery stores. ·Pizza King made political campaign contributions in October 2022 of $6,000 ·Pizza King recorded $25,000 of bad debt expense (book expense). They wrote off $20,000 of the allowance for doubtful accounts during the year. 

Calculate Pizza King’s taxable income for 2022.