During 2010,Sparrow Corporation,a Calendar Year C Corporation,had Operating Income of $510,000,operating

question 42

Multiple Choice

During 2010,Sparrow Corporation,a calendar year C corporation,had operating income of $510,000,operating expenses of $370,000,a short-term capital loss of $25,000,and a long-term capital gain of $80,000.How much is Sparrow's tax liability for 2010?

• A)$46,100.
• B)$59,300.
• C)$69,050.
• D)$76,050.
• E)None of the above.

---

Definitions:

Normally Open

A term describing an electrical switch or relay contact that is open (not conducting) when in its default state, closing only in response to a control action.

Normally Closed

A term used to describe a switch or circuit condition where the default state is closed, allowing current to flow unless actuated to open.

Normally Closed

Refers to an electrical switch or relay configuration where the contacts are in a closed position, allowing current flow, when no actuating force is applied.

Inhibit

To prevent or restrict a particular action or operation, often used in the context of control systems.