Dark, Inc, a U

question 46

Multiple Choice

Dark, Inc., a U.S. corporation, operates Dunkel, an unincorporated branch manufacturing operation in Germany. Dark reports $100,000 of taxable income from Dunkel on its U.S. tax return along with $400,000 of taxable income from its U.S. operations. Dark paid $30,000 in German income taxes related to the $100,000 of Dunkel income. Assuming a U.S. tax rate of 21%, what is Dark's U.S. tax liability after any allowable foreign tax credits?

• A) $21,000
• B) $75,000
• C) $84,000
• D) $105,000

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Definitions:

The Feeling Life

Refers to the aspect of human experience concerned with emotions and feelings.

Dispositional Attribution

The tendency to attribute someone's behavior to their personality or disposition.

Situational Attribution

The process of attributing a person's behavior to external or environmental factors.

Critical Thinking

The process of objectively analyzing and evaluating an issue in order to form a judgment.