Tax Drill Allocation of Deductions Khan, Inc., a domestic corporation, reports $650,000 of gross income and an $BD,000 expense, all related to real estate activities. Determine the expense allocation and apportionment using gross income as a basls. When required, round any division to three decimal places. Use rounded amounts in subsequent computations. U.S GrossAllocation Foreign Gross Income Income Foreign U.S. m $500,000 05,00072000 $500,000 B5,000 $50,000 $15,000 8,000 Income $550,000 $100,000 $80,000 Foudback Check My Work The United States levies a tax on taxable income. Deductions and losses, therefore, must be allocated and apportioned between U.S- and foreign- source gross income to determine U.S- and foreign-source taxable income