USCo manufactures and markets electrical components. USCo operates outside the United States through a number of CFCs, each of which is organized in a different country. These CFCs derived the following income for the current year: Determine the amount of income that USCo must report as a deemed dividend under subpart F in each scenario. (Leave no answer blank. Enter zero if applicable.) Problem 24-59 Part a (Algo)

a. F1 has gross income of $14.00 million, including $700,000 of foreign personal holding company interest and $13.30 million of gross income from the sale of inventory that F1 manufactured at a factory located within its home country.

a.

Amount of income reported

million

b. F2 has gross income of $8.6 million, including $6.9 million of foreign personal holding company interest and $1.72 million of gross income from the sale of inventory that F2 manufactured at a factory located within its home country. (Round your final answer to 1 decimal place.)

b.

Amount of income reported

$

million