Question - Sycamore Corporation's financial statements show the following items for the current year in its financial accounting records:

Gross receipts                            $500,000

Cost of goods sold                      260,000

Capital loss                                7,000

Salaries and wages                     80,000

Operating expenses                    50,000

Depreciation                               12,000

Charitable contributions               10,000

Dividend income                         5,000

For tax purposes, depreciation is $22,000. Sycamore owns less than 20% of the company from which it received dividends. Calculate Sycamore's taxable income, tax liability, and carryforwards.