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Required information

Problem $5-62($LO $5-3)($Algo$)$

$[$The following information applies to the questions displayed below.$]$

Fred currently earns $$9,400$ per month. Fred has been offered the chance to transfer for three to five years to an overseas affiliate. His employer is willing to pay Fred $$12,400$ per month if he accepts the assignment. Assume that the maximum foreign$-$earned income exclusion for next year is $$120,000.$

Problem $5-62$ Part b $($Algo$)$

b$.$ Suppose that Fred's employer has offered Fred a six$-$month overseas assignment beginning on January $1$ of next year. How much U$.$S$.$ gross income will Fred report next year if he accepts the six$-$month assignment abroad and returns home on July $1$ of next year?

Income reported