Performance,Inc

question 144

Multiple Choice

Performance,Inc.,a U.S.corporation,owns 100% of Krumb,Ltd.,a foreign corporation.Krumb earns only general basket income.During the current year,Krumb paid Performance a $200,000 dividend.The foreign tax credit associated with this dividend is $30,000.The foreign jurisdiction requires a withholding tax of 30%,so Performance received only $140,000 in cash as a result of the dividend.What is Performance's total U.S.gross income reported as a result of the $140,000 cash received?

• A)$30,000
• B)$140,000
• C)$200,000
• D)$230,000

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Definitions:

Basic Mistrust

An aspect of Erikson's psychosocial development theory, suggesting that failure to develop trust during infancy can lead to feelings of mistrust towards the world.

Caregiver

An individual who provides care and support to someone who is unable to fully care for themselves due to illness, disability, or age.

Efe People

An indigenous group of pygmy people who live in the Ituri Rainforest of the Democratic Republic of Congo, known for their hunter-gatherer lifestyle.

Aggressive

Exhibiting behavior that is forceful, hostile, or attacking, often with the intent to dominate or intimidate.