Silver Corporation, a Calendar Year Taxpayer, Has Taxable Income of $550,000

Silver Corporation, a calendar year taxpayer, has taxable income of $550,000. Among its transactions for the year are the following: $\begin{array}{llr} \text { Collection of proceeds from insurance policy on life of corporate } &\\ \text { officer (in excess of cash surrender value) } &\$82,500\\ \text { Realized gain (not recognized) on an involuntary conversion} &11,000\\ \text { Nondeductible fines and penalties } &44,000\\\end{array}$
? Disregarding any provision for Federal income taxes, Silver Corporation's current E & P is:

A) $500,500.
B) $588,500.
C) $599,500.
D) $687,500.
E) None of the above.