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Yoda's Training Camp Inc., realized $122,500 in operating income. Yoda's Training Camp Inc., had interest income of $25,000 and realized $70,000 in dividend income. Yoda's

Yoda's Training Camp Inc., realized $122,500 in operating income. Yoda's Training Camp Inc., had interest income of $25,000 and realized $70,000 in dividend income. Yoda's Training Camp Inc., had interest expense of $40,000. Using the corporate tax schedule below, what is Yoda's tax liability?

Taxable Income Tax on Base of Bracket Percentage on Excess above Base
Up to $50,000 $0 15%
$50,000-$75,000 7,500 25
$75,000-$100,000 13,750 34
$100,000-$335,000 22,250 39
$335,000-$10,000,000 113,900 34
$10,000,000-$15,000,000 3,400,000 35
$15,000,000-$18,333,333 5,150,000 38
Over $18,333,333 6,416,667 35

Assume a 70% dividend exclusion for tax on dividends.

Group of answer choices

$37,702

$27,359

$33,365

$32,364

$36,702

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