Answered: What is taxable income of Red…

Business

Accounting

What is taxable income of Red Corporation?

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter24: Multistate Corporate Taxation

Section: Chapter Questions

Problem 1BCRQ

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Question

Red Corporation has taxable income before DRD of $174,000. Included in that amount is a dividend of $20,000 from a large publicly-traded domestic corporation. Red also made a $25,000 cash contribution to a qualified charitable organization. The contribution is not included in the net income amount given. What is taxable income of Red Corporation?

		$146,600.
		$149,000.
		$139,000.
		$143,600.

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