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Question 3 continued A. Assume Federal tax depreciation equals book tax depreciation; compute M's 2021 federal taxable income. B. Assume interest and dividend income
Question 3 continued A. Assume Federal tax depreciation equals book tax depreciation; compute M's 2021 federal taxable income. B. Assume interest and dividend income are business income and that the rental income is non- business income, compute State A taxable income. C. M Corporation is planning to increase revenue by expanding their sales department and developing an online sales program. What advice would you give M Corporation before they begin this expansion? D. M Corporation is also considering transferring intangibles to a US subsidiary in a low or no tax state and charging royalties to other domestic subsidiaries for the use of the intangibles. Briefly discuss what advice you would give M Corporation.
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