Two Unrelated,calendar Year C Corporations Have the Following Taxable Income

question 77

Multiple Choice

Two unrelated,calendar year C corporations have the following taxable income for the current year: Magenta Corporation is a qualified personal service corporation.Based on these facts,their corporate tax liability is:

• A) $24,500 for Olive and $18,850 for Magenta.
• B) $24,500 for Olive and $31,500 for Magenta.
• C) $12,500 for Olive and $18,850 for Magenta.
• D) $12,500 for Olive and $31,500 for Magenta.
• E) None of the above.