Problem 16-37 (LO. 3) Lili, Inc., a domestic corporation, operates a branch in France. The earnings record of the branch is as follows. Year Foreign Taxes Paid 1 $0 Taxable Income (Loss) ($25,000) (40,000) (10,000) $120,000 0 N 3 0 4 40,000 Lili, Inc., reports U.S.-source taxable income of $500,000 each year. Assume a 35% U.S. tax rate. Round your answers to the nearest dollar. Ignoring any recapture, what is the tentative FTC for year 4? What is the allowed FTC for year 4 as the result of any recapture