WorldCo, a Foreign Corporation Not Engaged in a U

question 111

Multiple Choice

WorldCo, a foreign corporation not engaged in a U.S. trade or business, receives $50,000 in interest income from deposits with the foreign branch of a U.S. bank. The U.S. bank earns 78% of its income from foreign sources. How much of WorldCo's interest income is U.S. source?

• A) $0
• B) $11,000
• C) $39,000
• D) $50,000

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Definitions:

Gray Matter

Nervous system tissue made up of neuron cell bodies, dendrites, and unmyelinated axons, found in the brain and spinal cord, crucial for processing information.

Columns

In anatomical terms, columns refer to structures shaped like pillars, often found in the spinal cord, which consist of white matter that carries nerve impulses to and from the brain.

Dorsal Root

The part of a spinal nerve that enters the dorsal side of the spinal cord, carrying sensory information from the body to the central nervous system.

Ganglion

A structure containing a number of nerve cell bodies, typically linked by synapses, and often forming a swelling on a nerve fiber.