Orange is ancell phonemanufacturer headquartered in the U.S., with asubsidiary located in Bermuda.Assume the U.s. has a corporate tax rate of 20% and Bermuda has a corporate tax rate of 0%. Orange was able to save on total corporate taxes owed by licensing all of its cell phone technology to its subsidiary in Bermuda because of the tax rate differential.

Now Orange wishes to bring its earnings of $4 million in Bermuda back to the U.S.When Orange "repatriates" this money, how much will itowe in U.S. taxes?

round to the nearest dollar