1. During Year 4, Charlie, an NRA, receives interest income of $50,000 from PJ, Inc., an unrelated U.S. corporation. Considering the following facts related to PJ’s operations, what is the sourcing of the interest income received by Charlie

Year	U.S.-source income	Active foreign business income	Total gross income
Year 1	$200,000	$ 500,000	$ 700,000
Year 2	50,000	950,000	1,000,000
Year 3	100,000	900,000	1,000,000
Totals	$350,000	$2,350,000