Waco Leather Inc., a U.S. corporation, reported total taxable income of $4.2 million. Taxable income included $1.4 million of foreign source taxable income from the company's branch operations in Mexico. Assume all of the income is general category income. Waco paid Mexican income taxes of $280,000 on its branch income. Compute Waco's allowable foreign tax credit. (Do not round intermediate computations. Enter your answers in dollars and not in millions of dollars.) Answer is complete but not entirely correct Foreign tax credit $ 196,000 Required information The following information applies to the questions displayed below Spartan Corporation, a U.S. company, manufactures green eye shades for sale in the United States and Europe. All manufacturing activities take place in Michigan. During the current year, Spartan sold 12,000 green eye shades to European customers at a price of $12.00 each. Each eye shade costs $5.00 to produce. All of Spartan's production assets are located in the United States. For each independent scenario, determine the source of the gross income from sale of the green eye shades. a. Spartan ships its eye shades F..., place of destination. Apportioned to production activity - Foreign source b. Spartan ships its eye shades F..., place of shipment