During the Current Year,Mars Corporation Receives Dividend Income of $20,000

question 24

Multiple Choice

During the current year,Mars Corporation receives dividend income of $20,000 from an 85%-owned domestic corporation.What is Mars' maximum allowable dividend-received deduction for the current year?

• A)$- 0 -
• B)$14,000
• C)$16,000
• D)$18,000
• E)$20,000

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Definitions:

Balance Per Books

The amount of money shown in the company's financial records, not necessarily reflecting cash available or actual account balances due to outstanding transactions.

Error By The Company

A mistake made in the recording, classification, or processing of financial or operational information by the company.

NSF Check

A cheque that cannot be processed because the drawer's account does not have sufficient funds.

Debit Memo

A document issued by a purchaser to a seller to adjust or correct a previously issued invoice.