For 2021, MSU Corporation has $500,000 of adjusted taxable income, $22,000 of business interest income, and $120,000
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For 2021, MSU Corporation has $500,000 of adjusted taxable income, $22,000 of business interest income, and $120,000 of business interest expense. It has average annual gross receipts of more than $26,000,000 over the prior three taxable years.
a. What is MSU’s interest expense deduction?
b. How much interest expense can be deducted if MSU’s adjusted taxable income is $300,000?
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Related Book For 
South-Western Federal Taxation 2022 Individual Income Taxes
ISBN: 9780357519073
45th Edition
Authors: James C. Young, Annette Nellen, William A. Raabe, Mark Persellin, William H. Hoffman
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