Question
SFS Inc. has $100,000 in net income from business operations this tax year. SFS also receives $60,000 in dividends from the 20%-owned HVR Inc. and
SFS Inc. has $100,000 in net income from business operations this tax year. SFS also receives $60,000 in dividends from the 20%-owned HVR Inc. and $40,000 in dividends from the 15%- owned HVG Inc. Both HVR and HVG are domestic corporations. What is the dividends received deduction (DRD) before applying any taxable income limitations for SFS Inc.?
a) $ 65,000 b) $ 50,000 c) $100,000 d) $ 59,000
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Using Financial Accounting Information The Alternative to Debits and Credits
Authors: Gary A. Porter, Curtis L. Norton
7th Edition
978-0-538-4527, 0-538-45274-9, 978-1133161646
