Question: Dunne Inc a U S corporation earned 500 000 in total taxable
Dunne, Inc., a U.S. corporation, earned $500,000 in total taxable income, including $50,000 in foreign-source taxable income from its branch manufacturing operations in Brazil and $20,000 in foreign-source income from interest earned on bonds issued by Dutch corporations. Dunne paid $25,000 in Brazilian income taxes and $3,000 in Dutch income taxes. Compute Dunne's U.S. tax liability after any available FTCs. Assume that the U.S. tax rate is 34%.
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