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Sarah is the sole shareholder and CEO of Orange, Inc., an S corporation that is a qualified trade or business. During the current year, Orange

Sarah is the sole shareholder and CEO of Orange, Inc., an S corporation that is a qualified trade or business. During the current year, Orange has net income of $650,000 after deducting Sarah's $200,000 salary. In addition to her compensation, Orange pays Sarah dividends of $500,000. What is Sarah's qualfied business income? $0 $650,000 $500,000 $200,000 None of the choices presented are correct

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