Case 11-1 People Innovation U.S International Corporation Excellence U.S International Corporation (USIC), a U.S taxpayer, has investments in foreign Entities A-G. Relevant infromation for these entities for these entities for the current fiscal year appears in the following table : Entit Country Percent Activity Income Before Income Dividend Net Amount Owned Tax ($ millions) Tax Withholding Received by Parent Rate Tax Rate ($ millions) USIC United States Manufacturing $ 10 35% A Argentina 100 % Manufacturing $1 35 % 0% $ 0,2 B Brazil 100 % Manufacturing $ 2 34 % 0% $ 2,5 C Canada 100 % Manufacturing $ 3 33 % 5% $ 1,5 D Hong Kong 100 % Investment $ 2 16,5 % 0% $ 1,0 E Liechtenstein 100% Distribution $ 3 10% 4% $ 0,0 Japan 51% Manufacturing $ 2 40 % 5% $ 0,5 G New Zealand 60% Banking $ 4 30 % 15% $ 1,0 Some dividends were paid out of beginning of year retained earnings