Problem 11-5 (Algorithmic) Special Deductions and Limitations (LO 11.3)

Fisafolia Corporation has gross income from operations of $426,600 and operating expenses of $362,610 for 2018. The corporation also has $42,660 in dividends from publicly traded domestic corporations in which the ownership percentage was 45%.

Below is the Dividends Received Deduction table to use for this problem.

Percent Ownership	2018 Dividends Received Percentage
Less than 20 percent	50%
20 percent or more, but less than 80 percent	65%
80 percent or more	100%

If require, round final answers to the nearest dollar.

a. Calculate the corporation's dividends received deduction for 2018. $

b. Assume that instead of $426,600, Fisafolia Corporation has gross income from operations of $319,950.

Calculate the corporation's dividends received deduction for 2018. $

c. Assume that instead of $426,600, Fisafolia Corporation has gross income from operations of $350,000. Calculate the corporations dividends received deduction for 2018. $