Manatee Corporation, a Retailer, Is Owned Equally by Twelve Unrelated

question 997

Multiple Choice

Manatee Corporation, a retailer, is owned equally by twelve unrelated individuals. Its taxable income this year is $100,000 and its regular federal income tax liability is $21,000. The company claims a $20,000 dividends- received deduction and pays $25,000 dividends to its shareholders. The corporation had accumulated earnings and profits of $200,000 at the end of the preceding year. The company has reasonable needs of the business at year- end of $210,000. The accumulated earnings tax is

• A) $9,000.
• B) $4,800.
• C) $9,800.
• D) $12,800.

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Definitions:

Northwest Coast Indians

Indigenous peoples known for their complex clan systems, totem poles, and intricate art styles in the Pacific Northwest region of North America.

Spiritual Beliefs

The personal or shared convictions and practices regarding the divine, sacred, or existential meanings beyond the material realm.

Social Status

The position or rank of a person or group within the societal hierarchy, influenced by factors like wealth, occupation, education, and family background.

Codex Mendoza

An Aztec codex created in the 16th century, containing detailed illustrations and information on the history, politics, and social structures of the Aztec empire.