AsiaCo is a wholly-owned Hong Kong subsidiary of USAco. AsiaCo purchases doodads manufactured by USAco in the United States and sells them to Korean customers. USAco pays AsiaCo a service fee for finding materials in Japan that USAco buys as a component for its doodads. AsiaCo invests all of its profits in certificates of deposit with the Bank of Hong Kong. Which of the following statements is NOT true?

a) AsiaCo has foreign base sales income since the doodads were manufactured outside of Hong Kong and sold to customers living outside of Hong Kong.

b) AsiaCo has foreign base sales income since it earns a fee from a related party

c)Because AsiaCo earns passive interest income from the certificates of deposit, AsiaCo earns foreign personal holding company income.

d)AsiaCo has no foreign source income.