Louisiana Land Corporation reported the following results for the current year: What is the amount of the taxable income for the current year?

Question

Louisiana Land Corporation reported the following results for the current year:  What is the amount of the taxable income for the current year?

Quizplus · Accepted Answer

The taxable income can be calculated using the formula: 
Taxable income = Total income - Total deductions 
From the given information, we know that the total income was $900,000 and the total deductions were $632,000. 
Subtracting $632,000 from $900,000 gives us $268,000, which is the taxable income for the current year. Therefore, the correct answer is choice B.

Louisiana Land Corporation Reported the Following Results for the Current