Solution-What amount should be reported as income

What amount should be reported as income

Reference no: EM132702540

Question - In the current year, Acorn, Inc., had the following items of income and expense:

Sales $500,000

Cost of sales 250,000

Dividends received 25,000

The dividends were received from a corporation of which Acorn owns 30%. In Acorn's current-year corporate income tax return, what amount should be reported as income before special deductions?

a. $525,000

b. $505,000

c. $275,000

d. $250,000

Reference no: EM132702540

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What amount should be reported as income

Reference no: EM132702540

Reference no: EM132702540

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