In this problem , what figures do I use to calculate dividends received?

The Talley Corporation had a taxable income of $365,000 from operations after all operating costs but before (1) interest charges of $50,000, (2) dividends received of $15,000, (3) dividends paid of $25,000, and (4) income taxes. What are the firm's income tax liability and its after-tax income? What are the company's marginal and average tax rates on taxable income?

Solution:

Income$365,000

Less Interest deduction(50,000)

Plus:Dividends received4,500

Taxable income