For 2019, UNA Corporation has $500,000 of adjusted taxable income, $22,000 of business interest income, and $120,000

Question:

For 2019, UNA Corporation has $500,000 of adjusted taxable income, $22,000 of business interest income, and $120,000 of business interest expense. It has average annual gross receipts of more than $25,000,000 over the prior three taxable years.

a. What is UNA’s interest expense deduction?

b. How much interest expense can be deducted if UNA’s adjusted taxable income is $300,000?

Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...

Fantastic news! We've Found the answer you've been seeking!