36. Boulder corporation owns all of the stock of pebbleCo, so they constitute a federal affiliated group and a parent-subsidiary controlled group. By completing the following chart, delineate for boulders tax department some of the effects of an election to file federal consolidated income tax returns.

	Situation	If the group files a consolidated return	If separate income tax returns continue to be filed
A	Both boulder and PebbleCo produce taxable profits from manufacturing activities.
B	PebbleCo pays bolder an annual royalty for use of the boulder trademarks.
C	Boulder uses a calendar tax year, while PebbleCos tax year-end is March 31
D	Boulder claims a credit for its foreign tax payments, while Pebble claims a deduction for them.