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Author Question: ChocoHealth Inc. is developing new chocolate products providing abundant health benefits at low ... (Read 15 times)

soccerdreamer_17

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Question 1

Carlotta, Inc. has $50,000 foreign-source income and $150,000 worldwide income. Its U.S. tax on its worldwide income is $42,000 and it paid foreign taxes of $12,000. What is the corporation's foreign tax credit?
◦ $4,000
◦ $12,000
◦ $14,000
◦ $42,000

Question 2

ChocoHealth Inc. is developing new chocolate products providing abundant health benefits at low calorie counts. For the past three years, it spent an average of $500,000 per year on research. ChocoHealth has spent $900,000 on research. The company has elected the simplified credit. For the current year, it will earn a research credit of
◦ $54,000.
◦ $126,000.
◦ $80,000.
◦ $91,000.


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Marked as best answer by soccerdreamer_17 on Sep 13, 2020

katkat_flores

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soccerdreamer_17

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Reply 2 on: Sep 13, 2020
Wow, this really help


FergA

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Reply 3 on: Yesterday
Great answer, keep it coming :)

 

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