The Ohio Corporation Had a 2013 Taxable Income of $50,000,000

question 90

Multiple Choice

The Ohio Corporation had a 2013 taxable income of $50,000,000 from operations after all operating costs but before: (1) interest charges of $500,000,
(2) dividends received of $45,000,
(3) dividends paid of $10,000,000, and
(4) income taxes.Using the tax schedule in Table 2.3, what is Ohio's income tax liability?
What are Ohio's average and marginal tax rates on taxable income from operations?

• A)$6,416,667, 12.83%, 35%, respectively
• B)$13,829,725, 27.66%, 35%, respectively
• C)$17,329,725, 34.66%, 35%, respectively
• D)$17,340,750, 34.68%, 35%, respectively

---

Definitions:

Equal Protection Clause

A provision in the Fourteenth Amendment of the United States Constitution asserting that no state shall deny any person within its jurisdiction the equal protection of the laws.

Supreme Court

The apex judicial authority in the U.S., tasked with ensuring the American legal system adheres to the Constitution.

Due Process

A constitutional guarantee that prevents governments from impacting citizens in an unfair, arbitrary, or unreasonable manner, ensuring fair treatment through the normal judicial system.

Amendments

Changes or additions made to a legal document or constitution, often requiring a specific process of approval.