The Elm Corporation had taxable operating income of $500,000 (i.e. earnings from operating revenues minus all operating costs). Elm also had 1) interest charges of $60,000, 2) dividends received of $25,000, 3) dividends paid of $30,000, and 4) income taxes. Using the chart below, what is the firm's tax expense? Rate on amount Taxable Income Tax on Base above base 0 - 50,000 0 15% 50,000 - 75,000 7,500 25% 75,000 - 13,750 34% 100,000 39% 100,000 - 22,250 335,000 335,000 - 10M 113,900 10M - 15M 3,400,000 34% 35% 15M - 18.3M 5,150,000 38% 18.3M and up 6,416,667 35%