OutCo, a Controlled Foreign Corporation in Meena (Located Outside the U.S.)

question 40

Multiple Choice

OutCo, a controlled foreign corporation in Meena (located outside the U.S.) , earns $600,000 in net interest and dividend income from investments in the bonds and stock of unrelated companies. All of the dividend payors are located in Meena. OutCo's Subpart F income for the year is:

• A) $0.
• B) $0 only if OutCo is engaged in a trade or business in Meena.
• C) $600,000.
• D) $600,000 only if OutCo is engaged in a trade or business in Meena.

---

Definitions:

Eibl-Eibesfeldt

Refers to Irenäus Eibl-Eibesfeldt, an ethologist known for his work in human behavior and evolutionary biology.

Aggressive Encounter

An interaction characterized by behaviors intended to harm or intimidate another individual, often driven by anger or hostility.

Courtship

The period in a relationship which precedes engagement and marriage, characterized by various social activities and efforts to win the affection of the partner.

Anthropomorphic Method

A technique in which human traits, emotions, or intentions are attributed to non-human entities, including animals and deities.