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VMariaS [17]
3 years ago
6

In the current year, Crimson, Inc., a calendar C corporation, has income from operations of $180,000 and operating deductions of

$225,000. Crimson also had $30,000 of dividends from a 15% stock ownership in a domestic corporation. Which of the following statements is correct with respect to Crimson for the current year? a. Crimson’s NOL is $15,000. b. A dividends received deduction is not allowed in computing Crimson’s NOL. c. The NOL is carried back 3 years and forward 10 years by Crimson. d. Crimson’s dividends received deduction is $21,000. e. None of the above.
Business
1 answer:
Sergeu [11.5K]3 years ago
5 0

Answer:

The answer is: D) Crimson’s dividends received deduction is $21,000

Explanation:

The dividends received deduction (DRD) allows a company that earns dividends from another company, to deduct those earnings (dividends) from its income tax.

The three tiers of possible deductions are:

  1. If the company owns ≤20% of the second company, it can deduct 70% of the dividends received.
  2. If the company owns ˃20%  but ≤80% of the second company, it can deduct 80% of the dividends received.
  3. If the company owns ˃80% of the second company, it can deduct 100% of the dividends received.

Since Crimson owned 15% of the second company, then it can deduct 70% of the dividends it received, which equals $21,000 ($30,000 x 70%).

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<h3>Therapeutic Services workplaces </h3>

Correct options are A, C and F

"Reiko owns and operates her own private chiropractic practice, Harmony assists with surgeries in a nonprofit community hospital and Ian helps patients with basic tasks in their own homes" are the examples of demonstrate common Therapeutic Services workplaces and employers.

Careers in Therapeutic Services are focused on improving the health of patients over time through direct care, treatment, counseling or health education. Many of these careers require certification or additional education.

Learn more about workplaces, refer to the link:

brainly.com/question/24780768

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2 years ago
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andrew-mc [135]
B is the correct answer hope that helped love
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3 years ago
. Says law says? Do you agree or disagree with Jean? (Jean Baptiste Say) EXPLAIN. (hint...loanable funds market
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5 0
3 years ago
The balance sheet value of a firm's inventory is $50,000. Suppose that the firm purchases supplies at a cost of $4,000 and adds
IRINA_888 [86]

Answer:

$54,000

Explanation:

Since it is given that the inventory of the firm in the balance sheet is $50,000 and the purchase cost of supplies is $4,000 that is added in inventory

Also the market value of the inventory i.e. currently purchased is $2,500

That represents it changes rapidly

So here by using the historical method, the final amount of inventory that should be reported in the balance sheet is

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3 years ago
On November 10 of the current year, Flores Mills sold carpet to a customer for $8,000 with credit terms 2/10, n/30. Flores uses
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The appropriate journal entry to record the transactions is: Debit Cash $7,840; Debit Sales discount $160; Credit Account receivable $8,000.

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The correct entry to record the transaction is:

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Therefore the appropriate journal entry to record the transactions is: Debit Cash $7,840; Debit Sales discount $160; Credit Account receivable $8,000.

Learn more about journal entry here:brainly.com/question/14279491

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