Marisa Corporation purchased20%of Mantle Corporation's common stock in August of the current year and paid for the purchase with $100,000 cash and $100,000 borrowed from its bank. During the current year, Marisa received $50,000 in dividends from Mantle and paid $10,000 in interest expense on the bank loan. Marisa did not make any principal payments on the loan during the year. If Marisa had taxable income of $50,000 before special deductions, what is its dividends-received deduction for the year?

• A.
• $32,500
• B.
• $16,250
• C.
• $0
• D.
• $22,500