WFO Corporation has gross receipts according to the following schedule:

Year 1	$ 21.00 million
Year 2	$ 25.00 million
Year 3	$ 23.00 million
Year 4	$ 28.50 million
Year 5	$ 29.00 million
Year 6	$ 25.00 million

If WFO began business as a cash-method corporation in Year 1, in which year would it have first been required to use the accrual method?

Multiple Choice

• Year 3

• Year 4

• Year 5

• Year 6

• None of the choices is correct.

Jazz Corporation owns 10 percent of the Mitchell Corporation stock. Mitchell distributed a $29,000 dividend to Jazz Corporation. Jazz Corporation's taxable income (loss) before the dividend income was ($3,900). What is the amount of Jazz's dividends received deduction on the dividend it received from Mitchell Corporation?

Multiple Choice

• $0

• $12,550

• $14,500

• $22,175

• None of the choices is correct.