SunCo, a U

question 87

Multiple Choice

SunCo, a U.S. corporation, owns a number of patents related to designing sunglasses. SunCo licenses these patents to unrelated parties. SpainCo, a Spanish corporation, paid SunCo $78,000 in royalties related to these licenses. SpainCo uses the patent information in its manufacturing process in its Texas plant. WiscCo, a domestic corporation, paid SunCo $32,000 in royalties related to the licenses. WiscCo uses the patent information in its manufacturing process in its Germany manufacturing plant. How much U.S.-source royalty income did SunCo earn from these licenses?

• A) $0
• B) $32,000
• C) $78,000
• D) $110,000

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Definitions:

Color Vision

The ability of the human eye and brain to distinguish objects based on the wavelengths (or frequencies) of the light they reflect, emit, or transmit.

Social Groups

Collections of individuals bonded by shared interests, values, identities, or kinship, influencing behaviors and social norms.

Vegetation Eaters

Organisms that primarily consume plants or parts of plants for nutrition.

Fruit Eaters

Organisms that primarily consume fruits as their main source of nutrition.