$1.$ U Co$.($not a personal service corporation$)$ has accumulated earnings of $$100,000$ and current earnings of $$600,000.$ U Co$.$s dividends paid deduction is $$80,000$ and reasonable business needs amount to $$290,000.$

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a$.$ Determine U co$.$s$$accumulated earnings credit.$$

b$.$ If U Co$.$ also had after$-$tax net capital gains totaling $$70,000,$ determine U co$.$s accumulated earnings credit.