sole this problem "Required information Problem 18-45 (LO 18-2) (Algo) Skip to question [The following information applies to the questions displayed below.] Volunteer Corporation reported taxable income of $420,000 from operations this year. During the year, the company made a distribution of land to its sole shareholder, Rocky. The land's fair market value was $88,500 and its tax and E&P basis to Volunteer was $70,500. Rocky assumed a mortgage attached to the land of $17,700. Volunteer had accumulated E&P of $830,000 at the beginning of the year. Problem 18-45 Part b (Algo) Required: b. Compute Volunteer's current E&P.Current E&P" with these steps1. No mention of dividend distributions (just a land distribution). Steps to Compute the Accumulated E&P at the Beginning of Next Year: Start with the accumulated E&P at the beginning of the year: 2.Add taxable income for the year: This is then added to the accumulated E&P and is taxable at $410,000. Step 2 3.Adjust for the land distribution: The land is distributed to the shareholder (Rocky), and the adjustment is based on the difference between the FMV of the land and its E&P basis. FMV of the land: $80,000 E&P basis of the land: $57,500 The difference between the FMV and the E&P basis is: This difference will lead to the reduction of E&P since appreciated property is distributed to the shareholder. 4.Account for the mortgage assumption: Rocky took on a mortgage of $16000 on the land. This distribution is considered to be a cash distribution for E&P and will decrease the account of E&P. 5.Adjust the accumulated E&P: Subtract both the land distribution adjustment and the mortgage assumption from the accumulated E&P: