Minden Corporation€™s records show the following results for its first three years of operations:

In year 4, Minden generated $2 million taxable income ($900,000 of which was foreign source) and paid $370,000 foreign income tax.
a. Compute Minden€™s U.S. tax for years 1, 2, and 3.
b. Compute Minden€™s U.S. tax for year 4.
c. Compute the refund generated by the carryback of the year 4 excess credit.

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Year 1 Year 2 Year 3 U.S. source income Foreign source income Taxable income $180,000 $350,000 S 800,000 92,000 $272,000 500,000 $850,000 $152,000 680,000 $1,480,000 S 224,400 Foreign tax paid 21,000 $152