$$66,000$ of interest on the debt this year. Lime received a $$60,000$ cash dividend on the Beer stock on September $1$ of the current year. Cheers has $$4$ million of taxable income before any dividends$-$received deduction.

Read the requirements.

Requirement a $.$ What amount can Lime deduct for the interest paid on the loan?

Lim. the interest paid on the loan.

Requirement b$.$ What dividends$-$received deduction can Lime claim with respect to the dividend?

How much of the $$60,000$ dividends received from Beer must Lime include in its income?

Dividends$-$received deduction for Lime $=$