Question

The Loquat Corporation has book net income of $217,000 for the current year. Included in this...

The Loquat Corporation has book net income of $217,000 for the current year. Included in this figure are the following items, which are reported on the corporation's Schedule M-1, Reconciliation of Income (Loss) per Books with Income per Return.

Federal income tax expense $32,550
Depreciation deducted on the books which is not deductible for tax purposes 43,400
Deduction for 50 percent of meals expense which is not allowed for tax purposes 19,530
Deduction for a tax penalty not allowed for tax purposes 8,680
Tax-exempt interest income included in book income but not in tax income 13,020

Calculate Loquat Corporation's taxable income for the current year based on the information given.
$

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